SPACE HELLAS S.A.
Annual Financial Report 2023
1
ANNUAL FINANCIAL REPORT
For the year 1st January 2023 – 31st December 2023
«SPACE HELLAS S.A. »
Company's Reg. No: 375501000
Mesogion Av. 312 Ag. Paraskevi
The annual financial report of 2023 has been prepared in accordance with art. 4, Law 3556/2007, has been approved by the
Board of Directors on 23rd April 2024 and has been uploaded at the URL address http://www.space.gr
SPACE HELLAS S.A.
Annual Financial Report 2023
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LIST OF CONTENTS ANNUAL REPORT 2023
1 STATEMENTS OF MEMBERS OF THE BOARD (In accordance with article 4 par.2 of Law 3556/2007
5
2 ANNUAL REPORT OF THE BOARD OF DIRECTORS FOR THE FINANCIAL PERIOD 1.1.2023 –
31.12.2023 6
2.1 OVERVIEW OF THE YEAR 2023 - FINANCIAL POSITION – PERFORMANCE _________________________________ 7
2.1.1 Key Financial Information ___________________________________________________________________ 9
2.1.2 Other information _________________________________________________________________________ 20
2.2 SIGNIFICANT FACTS DURING THE YEAR 2023 AND THEIR IMPACT ON THE FINANCIAL STATEMENT __________ 21
2.3 BUSINESS PERSPECTIVES FOR THE GROUP AND THE COMPANY_________________________________________ 28
2.3.1 Introduction _______________________________________________________________________________ 28
2.3.1 Private Sector and state-owned companies _________________________________________________ 28
2.3.2 Public Sector ______________________________________________________________________________ 29
2.3.3 International Presence _____________________________________________________________________ 31
2.3.4 Research and Development _______________________________________________________________ 32
2.3.5 Perspectives ______________________________________________________________________________ 33
2.4 RISK MANAGEMENT AND HEDGING POLICY _________________________________________________________ 34
2.5 IMPORTANT TRANSACTIONS BETWEEN THE COMPANY AND RELATED PARTIES ___________________________ 42
2.6 ALTERNATIVE PERFORMANCE MEASURES ____________________________________________________________ 45
2.7 NON-FINANCIAL INFORMATION ___________________________________________________________________ 47
2.8 SPACE HELLAS EU TAXONOMY REPORT 2023 REPORTING OBLIGATIONS UNTER ART.8 REGULATION (EU) 2020/852 101
2.9 GOING CONCERN _______________________________________________________________________________ 112
2.10 CORPORATE GOVERNANCE STATEMENT ___________________________________________________________ 112
2.11 SIGNIFICANT POST-BALANCE SHEET EVENTS ________________________________________________________ 201
2.12 EXPLANATORY REPORT OF THE BOARD OF DIRECTORS TOWARDS THE SHAREHOLDERS’ ORDiNARY GENERAL MEETING OF
“SPACE HELLAS S.A.”, pursuant to article 4, paragraphs 7 and 8, Law 3556/2007 ______________________ 202
3 INDEPENDENT AUDITOR’S REPORT ______________________________________________ 207
4 ANNUAL FINANCIAL STATEMENTS FOR THE PERIOD FROM 1
st
JANUARY 2023 TO 31
st
DECEMBER
2023 217
4.1 TOTAL COMPREHENSIVE INCOME STATEMENT ______________________________________________________ 217
4.1.1 Income Statement _______________________________________________________________________ 217
4.1.2 Other comprehensive Income statement __________________________________________________ 218
4.2 FINANCIAL POSITION STATEMENT__________________________________________________________________ 219
4.3 STATEMENT OF CHANGES IN EQUITY _______________________________________________________________ 220
4.3.1 Statament of Changes in Company’s Equity ________________________________________________ 220
4.3.2 Statement of Changes in Group’s Equity: ___________________________________________________ 221
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Annual Financial Report 2023
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4.4 CASH FLOW STATEMENT __________________________________________________________________________ 222
4.5 NOTES ON SIGNIFICANT ACCOUNTING POLICIES AND OTHER EXPLANATORY INFORMATION ____________ 223
4.5.1 Information on SPACE HELLAS S.A __________________________________________________________ 223
4.5.2 Summary of Significant Accounting Polices ________________________________________________ 227
4.6 NOTES TO THE ANNUAL FINANCIAL STATEMENTS of yeAr 2023 ________________________________________ 256
4.6.1 Operating Segments ______________________________________________________________________ 256
4.6.2 Other Operating Income __________________________________________________________________ 257
4.6.3 Operating Expenses ______________________________________________________________________ 257
4.6.4 Other Operating Expenses ________________________________________________________________ 259
4.6.5 Financial results ___________________________________________________________________________ 259
4.6.6 Income Tax ______________________________________________________________________________ 260
4.6.7 Property, Plant And Equipment ____________________________________________________________ 260
4.6.8 Intangible Assets _________________________________________________________________________ 262
4.6.9 Rights of Use _____________________________________________________________________________ 264
4.6.10 Investment Properties _____________________________________________________________________ 264
4.6.11 Goodwill _________________________________________________________________________________ 264
4.6.12 Liens and Pledges ________________________________________________________________________ 267
4.6.13 Subsidiaries, Associates and Joint Ventures _________________________________________________ 268
4.6.14 Other Long-Term Receivables _____________________________________________________________ 271
4.6.15 Inventories _______________________________________________________________________________ 271
4.6.16 Trade Receivables ________________________________________________________________________ 272
4.6.17 Other Receivables ________________________________________________________________________ 274
4.6.18 Prepayments _____________________________________________________________________________ 275
4.6.19 Cash And Cash Equivalents _______________________________________________________________ 275
4.6.20 Share Capital ____________________________________________________________________________ 275
4.6.21 Reserves _________________________________________________________________________________ 276
4.6.22 Long Term Loans _________________________________________________________________________ 277
4.6.23 Other Long Term Liabilites _________________________________________________________________ 278
4.6.24 Fair Value Measurement __________________________________________________________________ 278
4.6.25 Personnel Employee - Employee Benefits ___________________________________________________ 279
4.6.26 Deferred Income Tax _____________________________________________________________________ 280
4.6.27 Trade and Other Payables ________________________________________________________________ 282
4.6.28 Provisions ________________________________________________________________________________ 282
4.6.29 Disputed Claims __________________________________________________________________________ 283
4.6.30 Unaudited Fiscal Years by the Tax Authorities _______________________________________________ 283
4.6.31 Contingent events ________________________________________________________________________ 284
4.6.32 Cash Flow________________________________________________________________________________ 285
4.6.33 Contingent Events - Transactions Between the Company and Related Parties (IAS 24) from 01-01-2023 to 31-
12-2023 286
4.7 ALTERNATIVE PERFORMANCE MEASURES ___________________________________________________________ 289
4.8 ADJUSTMENTS AND RECLASSIFICATIONS ___________________________________________________________ 292
4.8.1 Discontinued operations __________________________________________________________________ 292
SPACE HELLAS S.A.
Annual Financial Report 2023
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4.8.2 Income Statement _______________________________________________________________________ 294
4.8.3 Financial Position Statement _______________________________________________________________ 295
4.8.4 Cash Flow Statement _____________________________________________________________________ 296
4.9 SIGNIFICANT POST-BALANCE SHEET EVENTS ________________________________________________________ 297
5 FIGURES AND INFORMATION FROM 1
ST
JANUARY TO 31
th
DECEMBER 2023 _________ 298
6 GROUP’S WEBSITE AND AVAILABILITY OF THE PUBLISHED FINANCIAL REPORT _______ 299
SPACE HELLAS S.A.
Annual Financial Report 2023
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1 STATEMENTS OF MEMBERS OF THE BOARD (In accordance with article 4
par.2 of Law 3556/2007
The Members of the Board of Directors of SPACE HELLAS:
❑ Spyridon D. Manolopoulos, Chairman of the Board, executive member
❑ Mertzanis A. Ioannis, Chief Executive Officer, executive member
❑ Ioannis Doulaveris Chief Financial Officer, executive member.
acting by virtue of the aforementioned membership and specially designated, we declare and certify
that, to the best of our knowledge:
1. The annual financial statements of the Group and of company SPACE HELLAS SA for the financial year
from January 1, 2023, to December 31, 2023, which were prepared according to International Financial
Reporting Standards, present truly and fairly the assets and liabilities, the equity and the financial results
of the Company, as well as of the consolidated companies as a whole of year 2023, according to par. 3
to 5 of article 4 of L. 3556/2007 and
2. The enclosed report of the Board of Directors reflects in a true manner the development, performance
and financial position of the Company and of the businesses included in Group consolidation, taken as
a whole, including the description of the principal risks and uncertainties.
Agia Paraskevi, 23 April 2024
The Designated members of the Board of Directors
The Chairman of the Board Chief Executive Officer Member of the Board, and
Chief Financial Officer
S. Manolopoulos I. Mertzanis I. Doulaveris
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Annual Financial Report 2023
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2 ANNUAL REPORT OF THE BOARD OF DIRECTORS FOR THE FINANCIAL
PERIOD 1.1.2023 – 31.12.2023
To the Shareholders,
The present Report of the Board of Directors of SPACE HELLAS refers to the financial year from January
1, 2023, to December 31, 2023, and is compliant with the provisions of the Greek Companies’ Act, L.
4548/2018 (art. 150 to 154) as well as art. 4 § 7 L.3556/2007 and related HCMC circulars.
This report is divided in subsections with the aim to present in a fair, summarized, yet substantial manner
all the information in accordance with the abovementioned legal framework in order to provide
substantial and well documented information regarding the activities of the company and the Group
for the related period.
The sections of the report aim to provide the Shareholders with information regarding the following:
o The financial position of the Group and the Company, and additional related information for
the financial year 2023,
o The important issues that took place during the financial year 2023 and their impact on the
financial statements,
o The perspectives and strategic aims of the Group and the Company,
o The risks and uncertainties of the Group and the Company,
o The Group’s Corporate Governance practices,
o The transactions with related parties during 2023,
o The important issues that took place after the end of the financial year 2023.
The key information reference of this report is the consolidated financial data of the Company and its
affiliated companies, and with reference to the individual (non-consolidated) financial data of the
Company, only where it is deemed appropriate or necessary for a better understanding of its content.
The present report is included in its entirety in the Annual Financial Report of the year 2023, along with
the financial statements and the other necessary information, the relevant declarations and the
explanatory notes.
SPACE HELLAS S.A.
Annual Financial Report 2023
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The amounts in this report are presented in Euro thousands unless expressly stated otherwise.
The Annual Report, together with the financial statements and the auditor’s report, is available at
http:/www. space. gr.
2.1 OVERVIEW OF THE YEAR 2023 - FINANCIAL POSITION – PERFORMANCE
2023 was recorded as the strongest year for the markets since 2019, closing the year with optimism from
most investors despite continuous and persistent pressures, mainly from the geopolitical and monetary
side.
The Greek economy seems to be gradually completing a strong cycle of recovery, overcoming the
problems created over the ten-year debt crisis and coming back to normality. There are many individual
indicators that express this recovery, as according to the most recent IOBE measurements on behalf of
the E.U., Greek GDP is growing faster than European averages at a 15-year high. This increase is
accompanied by a systematic de-escalation of unemployment and an increase in investment that is
also higher than European growth rates.
However, this does not mean that uncertainty does not remain high, as the cost of living remains high,
the "battle" with inflation is not over, and in addition to the Ukraine war, new geopolitical turmoil has
been added. The beginning of 2024 finds us with a new potential escalation in the form of Iran's
blockade (with the cooperation of Yemen's Houthis) of the Straits of Hormuz and, recently, the crisis in
the Middle East. In the event that the above reflates a new energy crisis (escalation of oil and natural
gas prices and an upward trajectory of Europe's inflation), conditions of economic instability will be
created again. Finally, 2024 is an election year for the USA with the risk of a possible significant change
in the course of relations between the USA and China, which will critically affect the global economy
not only in the future but also immediately.
In 2023, the Greek economy showed particular resilience despite the unfavourable external
environment, both in terms of strengthening economic activity and creating new jobs. According to
ELSTAT's initial estimates, the growth rate achieved by the Greek economy in 2023 amounted to 2%, with
the performance of the 4th quarter at 1,2% on an annual basis, continuing to significantly exceed the
eurozone average.
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Annual Financial Report 2023
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In Q4 2023, private consumption (at constant prices) accelerated to yearly 1.8% (1,4% quarterly) from
yearly 1,2% in Q3, driven by supportive labor market conditions – with growth in total employee wages
(by yearly 5% in nominal terms, in Q4) as well as in non-wage income (rents, interest and dividends) –
the acceleration of consumer credit (yearly +3,4% in December 2023 compared to 1,5% in June, which
constitutes a 14-year high,) and the positive effects on household wealth (property owners and/or net
savers) from rising property valuations as well as financial assets. Public consumption accelerated to an
annualised 2,7% in the last quarter. Similar trends were observed in 2023 as a whole, with private and
public consumption increasing at the same rate (1,6% per year in 2023) and the total wage also
increasing by 5,9% per year ( 2,5% at constant prices) over the year as a whole, outperforming, for the
first time since 2020, the growth rate of business profits. Therefore, private consumption growth added
1,1 percentage points to the annual change in GDP in 2023 and public consumption 0,3 percentage
points.
The effective utilization of resources from the EU Structural Funds, as well as those from the Recovery and
Resilience Mechanism (RRF), to stimulate public and private investments is expected to boost the course
of the Greek economy. The conclusion of double parliamentary elections that led to a self-reliant
government with a comfortable parliamentary majority, which is a continuation of the government of
the previous four years, has the effect of de-escalating the risk of political instability. This result seems to
ensure stability and visibility for favourable economic developments in the coming period, an element
that, to a certain extent, has already been seen from the trend in the country's borrowing costs and
capital markets. As a result of the above, Moody's upgraded Greece's credit rating by two notches from
Ba3 to Ba1 with a stable outlook, while other agencies such as the Japanese Rating and Investment
Information Inc., the German Scope Ratings and the Canadian DBRS Morningstar recently rated Greece
in the BBB investment grade. The acquisition of the investment grade will significantly strengthen the
resilience of the Greek economy to external factors, while at the same time, it is expected to further
reduce the cost of borrowing, both for the public and the private sector, thus strengthening investments
and, as a positive consequence, the economic development.
Regarding the year 2024, the forecast for the average annual growth rate of the Greek economy
amounts to 2,2%, an estimate according to which the Greek economy is expected to remain on an
upward trajectory, maintaining a satisfactory GDP growth rate. The historically high performance of
tourism, the increase in private consumption, the acceleration of capital spending related to the RRF
and the investments postponed from 2023, including reconstruction projects in Central Greece, are
expected to provide a significant boost to GDP in 2024.
SPACE HELLAS S.A.
Annual Financial Report 2023
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The request for the 4th payment, amounting to €2,3 billion, was recently submitted for the loan
component of the Recovery and Resilience Fund. As stated in an announcement by the Ministry of
National Economy and Finance, the specific request was submitted as RRF's goal of contracting loans,
amounting to 4,52 billion euros, was achieved earlier than expected.
In an undeniably changing Economic and Geopolitical environment, the IT and Communications
Technology sector, in which the Space Group operates, is one of the most important sectors for the
Greek economy due to the growing demand for automation and digitization both in the private and
the public sector. The Space Group continued to move successfully along the lines of competitiveness,
know-how and efficiency. The Group's effort to be competitive is continuous and essentially based on
the know-how, skills and dedication of its people, as well as on continuous investments aimed at
efficiency and value creation.
The effects of the changes in the business environment on individual areas of the Space Group's business
activities, as well as the ways to deal with them, will be analyzed in the "Risk Management and hedging
policies" chapter. The Group remains fully operational in all areas of its activity, taking all the necessary
measures to maintain high liquidity and profitability while remaining committed to the optimal utilization
of the funds it has, with the aim of its further organic growth and ensuring its business continuity. The
Administration implements its business planning with the aim of exploiting the business opportunities
created by the challenge of digital transformation in the public and private sectors, investing in
companies with a high level of specialization. Focusing on product diversity, the search for new business
opportunities and investments both in Greece and abroad will give the Group greater added value,
which will allow it to differentiate from the competition.
2.1.1 KEY FINANCIAL INFORMATION
The company's activities were in accordance with current legislation and its corporate goals, as defined
by its articles of association.
Here below, detailed data of the financial statements are presented and compared to those of the
previous period, which have been revised according to IFRS 5 "Non-current assets held for sale and
discontinued operations" (note 4.8.1), following the spin-off of the RnF branch of the subsidiary
SingularLogic SA.
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Annual Financial Report 2023
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2.1.1.1 Year’s income
Group Company
Amounts in € thousand
01.01-
31.12.2023
01.01-
31.12.2022
Change %
01.01-
31.12.2023
01.01-
31.12.2022
Change %
Revenue 148.078 120.663 22,72% 123.603 110.337 12,02%
Gross profit/loss 30.873 21.683 42,38% 23.675 19.856 19,23%
Gross profit margin 21% 18% 19% 18%
EBITDA 17.480 10.512 66,29% 12.049 8.895 35,46%
EBIT 11.281 7.028 60,52% 8.501 6.507 30,64%
Earnings before taxes 7.413 5.442 36,22% 4.581 4.470 2,48%
Earnings after taxes
4.804 5.020 -4,30% 3.146 3.332 -5,58%
The Group’s turnover amounted to € 148.078 thousand compared to € 120.663 thousand for the year
2022. The increase of 22,72% is attributed to the continuous increase of the Group's market share as a
result of all group members' efforts. The Group continues the implementation of Digital transformation
projects at a rapid pace in both the public and private sectors.
The Group’s Gross profit amounted to € 30.873 thousand compared to € 21.683 thousand in the previous
year, showing an increase of 42,38%.
The Group’s EBITDA amounted to € 17.480 thousand compared to € 10.512 thousand in the previous
period, showing an increasing pattern of 66,29%. The implementation of value-added projects is a
parallel goal to the increase in market share and consequently explains the above increase.
The Group’s EBIT amounted to € 11.281 thousand compared to € 7.028 thousand in the previous year,
showing an increase of 60,52%. The increase follows EBITDA’s trend, minus the depreciations and
amortizations for the year.
The Group’s earnings before taxes amounted to € 7.413 thousand compared to € 5.442 thousand during
the previous period, showing an increase of 36,22%. The increase in financial costs affected the specific
amount.
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The Group’s earnings after taxes amounted to € 4.804 thousand compared to € 5.020 thousand in the
previous period, showing a decrease of 4,30% as a result of increased tax liabilities.
Statement of comprehensive income
The other comprehensive income after taxes for the current year comprises the net amount of €, -170
thousand, which concerns adjustments from the Branch Spin-off of the subsidiary SingularLogic, the net
amount after taxes of €9 thousand, which concerns the result of the actuarial study (IAS 19), the amount
of €4 thousand from currency conversion differences in euros of our sub-subsidiaries abroad and the
amount of €58 thousand concerns the deletion of subsidiaries due to liquidation of the sub-subsidiary
SPACE HELLAS SYSTEM INTEGRATOR SRL.
The other comprehensive income after taxes of the previous year comprises the net amount of 1.517
thousand from the revaluation of assets at their fair value, which was determined by a study performed
by an independent certified appraiser, the net amount of € -6 thousand from actuarial results (IAS 19),
the amount of 3 thousand, of currency differences from the consolidation of subsidiaries and -103
thousand from consolidation adjustments.
2.1.1.2 Assets
Amounts in € thousand
01.01-
31.12.2023
01.01-
31.12.2022
Change %
01.01-
31.12.2023
01.01-
31.12.2022
Change %
Total Assets 175.283 175.071
0,12%
153.941 152.774
0,76%
Total noncurrent receivables 52.848 57.976
-8,85%
46.855 46.319
1,16%
Inventories 16.722 17.114
-2,29%
16.550 16.820
-1,61%
Trade receivables 64.122 53.279
20,35%
59.392 51.591
15,12%
Other receivables 41.591 46.702
-10,94%
31.144 38.044
-18,14%
Group
Company
The Group’s Total Assets amount to € 175.283 thousand compared to € 175.071 thousand in the year
2022.
The Group’s noncurrent receivables’ net value amounts to € 52.848 thousand compared to € 57.976
thousand in 2022. This decrease was mostly due to the strategy of disinvesting from non-controlling
interests and tangible assets as well.
SPACE HELLAS S.A.
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The Groups’ inventories of goods, raw and auxiliary materials and consumables amount to € 16.722
thousand compared to € 17.114 thousand in 2022, showing a modest change.
The Group’s Trade receivables amount to € 64.122 thousand compared to € 53.279 thousand in the year
2022, showing an increase of 20,35%, reflecting the steady upward turnover over the last years. This
increase was intensified by the significant increase in turnover in the last quarter of the year
The Group’s other receivables amount to € 41.591 thousand compared to € 46.702 thousand in the year
2022.
2.1.1.3 Liabilities
Amounts in € thousand
01.01-
31.12.2023
01.01-
31.12.2022
Change %
01.01-
31.12.2023
01.01-
31.12.2022
Change %
Total Liabilities
175.283 175.071 0,12% 153.941 152.774 0,76%
Shareholders’ Equity
28.183 30.632 -7,99% 25.605 23.315 9,82%
Long term loans
31.091 47.919 -35,12% 27.561 46.260 -40,42%
Long term leases
2.475 1.446 71,16% 2.222 1.174 89,27%
Other long term liabilities
6.406 4.718 35,78% 3.931 3.135 25,39%
Short term loans
41.670 22.683 83,71% 38.049 20.263 87,78%
Short term leases
1.028 1.253 -17,96% 857 661 29,65%
Other short term liabilities
64.430 66.420 -3,00% 55.716 57.966 -3,88%
Group
Company
The Shareholders’ equity amounts to € 28.183 thousand compared to € 30.632 thousand.
The Group’s long-term loans amount to € 31.091 thousand, compared to € 47.919 thousand in the year
2022, which is reduced by 35,12%. The loans comprise:
❑ The mortgage loan ending in 2025 has an initial amount of € 6.500 thousand, and after interest and
principal payments, it amounts to € 500 thousand.
❑ The mortgage loan ending in 2025 has an initial amount of € 2.000 thousand, and after interest and
principal payments, it amounts to € 500 thousand.
❑ The mortgage loan ending in 2025 has an initial amount of € 400 thousand, which, after interest and
principal payments, amounts to € 30 thousand.
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❑ The mortgage loan ending in 2025 has an initial amount of € 800 thousand and, after interest and
principal payments, an amount of € 217 thousand.
❑ The mortgage loan ending in 2025 has an initial amount of € 2.000 thousand, and after interest and
principal payments, it amounts to € 500 thousand.
❑ The mortgage loan ending in 2026 has an initial amount of € 500 thousand, and after interest and
principal payments, it amounts to € 222 thousand.
❑ The mortgage loan ending in 2026 has an initial amount of € 500 thousand, and after interest and
principal payments, it amounts to € 219 thousand.
❑ The mortgage loan ending in 2027 has an initial amount of € 4.000 thousand, and after interest and
principal payments, it amounts to € 2.200 thousand.
❑ The mortgage loan ending in 2027 has an initial amount of € 7.000 thousand, and after interest and
principal payments, it amounts to € 5.833 thousand.
❑ The mortgage loan ending in 2027 has an initial amount of € 6.000 thousand, and after interest and
principal payments, it amounts to € 5.000 thousand.
❑ The mortgage loan ending in 2027 has an initial amount of € 5.000 thousand, and after interest and
principal payments, it amounts to € 3.332 thousand.
❑ The mortgage loan ending in 2028 has an initial amount of € 7.000 thousand, and after interest and
principal payments, it amounts to € 4.000 thousand.
❑ The mortgage loan ending in 2028 has an initial amount of € 2.000 thousand, and after interest and
principal payments, it amounts to € 1.167 thousand.
❑ The mortgage loan ending in 2033 has an initial amount of € 2.400 thousand, and after interest and
principal payments, it amounts to € 2.400 thousand.
❑ The mortgage loan ending in 2033 has an initial amount of € 1.440 thousand, and after interest and
principal payments, it amounts to € 1.440 thousand.
❑ The mortgage loan ending in 2026 has an initial amount of € 700 thousand, and after interest and
principal payments, it amounts to € 263 thousand.
❑ The mortgage loan ending in 2026 has an initial amount of € 800 thousand, and after interest and
principal payments, it amounts to € 356 thousand.
❑ The mortgage loan ending in 2026 has an initial amount of € 1.000 thousand in favour of
SingularLogic, and after interest and principal payments, it amounts to € 438 thousand.
❑ The mortgage loan ending in 2026 has an initial amount of € 960 thousand in favour of SingularLogic,
and after interest and principal payments, it amounts to € 928 thousand.
❑ The mortgage loan ending in 2032 has an initial amount of € 1.600 thousand, in favour of
SingularLogic, and after interest and principal payments, it amounts to € 1.546 thousand.
SPACE HELLAS S.A.
Annual Financial Report 2023
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The fair value of the short and long-term borrowings approximates the book value. The rate used in the
company’s and the Group’s borrowings is floating and renegotiable within a six-month period. The
average interest rate applied is 6,97 %.
The Group’s short-term loans amount to € 41.670 thousand compared to € 22.683 thousand in the year
2022.
The total bank lending is at approximately the same level compared to the previous year. There is a
change between short-term and long-term bank liabilities, which, however, is cumulatively
compensated.
The Group’s other long-term liabilities amount to € 6.406 thousand compared to € 4.718 thousand in the
year 2022.
The Group’s other short-term liabilities amount to € 64.430 thousand, compared to € 66.420 thousand in
2022.
2.1.1.4 Cash Flow
Amount ins € thousand
01.01-
31.12.2023
01.01-
31.12.2022
01.01-
31.12.2023
01.01-
31.12.2022
Total cash inflow/(outflow) from operating activities
3.948 678 -2.319 230
Total cash inflow/(outflow) from investing activities
-5.350 -7.396 -2.603 -3.030
Total cash inflow/(outflow) from financing activities
-2.695 12.638 -2.617 10.716
Group
Company
Cash flow from operating activities is positive, amounting to € 3.948 thousand, compared to € 678 in the
previous year.
Cash flow from investing activities is negative, amounting to € 5.350 thousand. These funds were
channeled into the implementation of the Group's investment strategy.
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The cash flow from financing activities is negative, amounting to € 2.695 thousand, implementing the
group's financial plan.
2.1.1.5 Performance ratios
The Group measures its performance using widely accepted ratios:
:
31.12.2023 31.12.2022 31.12.2023 31.12.2022
A. LIQUIDITY RATIOS
Α1.
CURRENT RATIO 114,29% 129,59% 113,17% 134,94%
Α2. QUICK RATIO 98,68% 110,36% 95,68% 113,62%
Α3. ACID TEST RATI O 23,42% 32,30% 20,91% 34,64%
Α4.
WORKING CAPITAL TO CURRENT ASSETS 0,13 0,23 0,12 0,26
Group
Company
Β. CAPITAL STRUCTURE RATIOS
Β1. DEBT TO EQUITY
521,95% 471,53% 501,21% 555,29%
Β2. CURRENT LIABILI TI ES TO NET WORTH
380,12% 294,97% 369,54% 338,38%
Β3. FIXED ASSETS TO NET WORTH
196,61% 178,77% 181,94% 188,43%
Β4. EQUITY TO TOTAL LIABILITIES
19,16% 21,21% 19,95% 18,01%
Β.5 CURRENT ASSETS TO TOTAL ASSETS RATIO
69,85% 66,88% 69,56% 69,68%
C. ACTIVITY RATIOS
C1. INVENTORIES TURNOVER RATIO 6,93 times 7,71 times 5,99 times 6,83 times
C2. FIXED ASSETS TURNOVER RATIO 2,67 times 2,35 times 2,65 times 2,51 times
C3. DAYS OF SALES OUTSTANDING (D.S.O) 125,31 days 132,25 days 138,43 days 139,55 days
C4. ASSET TURNOVER RATIO 0,84 times 0,73 times 0,80 times 0,72 times
C5. OWNER'S EQUITY TURNOVER RATIO 5,25 times 4,20 times 4,83 times 4,73 times
D. PROFITABILITY RATIOS
D1.
ROE 16,34% 18,25%
12,87% 15,87%
D2.
ROA 2,74% 3,14% 2,05% 2,42%
D3. GROSS PROFIT MARGIN
20,85% 17,58% 19,15% 18,00%
D4. NET PROFIT MARGIN
5,01% 4,44% 3,71% 4,05%
D5. RETURN OF INVESTMENT
48,30% 30,12% 31,75% 29,42%
D6. EFFICIENCY OF TOTAL ASSETS
26,30% 18,62% 17,89% 19,18%
D7. RETURN ON TOTAL CAPITAL EMPLOYED
9,19% 6,10% 8,18% 5,87%
D8. FINANCIAL LEVERAGE RATIO
0,62 times 0,60 times 0,36 times 0,50 times
SPACE HELLAS S.A.
Annual Financial Report 2023
16
Ε. OPERATING EXPENSES RATIOS
Ε1. OPERATING RATIO 93,35% 98,97% 94,20% 96,06%
Ε2. INTEREST RATIO 1,85 times 2,15 times 1,57 times 1,99 times
Ε3. OPERATING EXPENSES TO NET SALES 14,20% 16,55% 13,35% 14,05%
Ε4. LOANS TO TOTAL ASSETS 41,51% 40,33% 42,62% 43,54%
2.1.1.6 Share Capital
The company’s shares are ordinary registered shares and have been listed in ASE since 29.09.2000
There are no changes during the period.
Number of shares and nominal value
31.12.2023 31.12.2022
Paid up capital
6.973.052 6.973.052,40
Number of ordinary shares
6.456.530 6.456.530
Nominal value each share
1,08 € 1,08 €
The earnings per share for the year have been calculated taking into account the weighted average
number of ordinary shares in issue, which was 6.456.530.
The earnings per share for the previous year have been calculated taking into account the weighted
average number of ordinary shares in issue, which was 6.456.530.
2.1.1.7 Own Shares
The company does not possess any own shares as of 31-12-2023.
On 12-29-2022, the decision of the Extraordinary General Meeting of the company's shareholders dated
12-20-2022 was registered in the General Commercial Register (G.E.MH) with Registration Code No.
3386053, according to which the conditions for the acquisition of own shares of the Company were
approved, in accordance with article 49 of Law 4548/2018, as well as the provision of relevant
authorizations. In particular, the General Assembly approved in its entirety the proposal of the
company's board of directors and the purchase of its own shares in accordance with article 49 of Law
4548/2018 with the following general characteristics: duration of approval twenty-four (24) months,
acquisition up to 5% of the total share capital, method of acquisition through stock market transactions
and price limits of €3 (nominal value) up to €13 per share, so that the company, once it acquires these
SPACE HELLAS S.A.
Annual Financial Report 2023
17
shares, can use them for future cooperation strategies and/or for the establishment of an incentive
program for its executives and other staff and/or the reduction of its share capital and/or for other legal
purposes, in each case in accordance with the relevant decision of the board of directors by virtue of
a special authorization to this end. Purchases of own shares will be carried out to the extent deemed
advantageous, and the company's available liquidity will allow it. Furthermore, the general meeting of
the company's shareholders decided to grant authorization to the company's board of directors for the
implementation of the decision of the general meeting and the regulation of any other more specific
matter, which is not defined in the said decision, respecting, in any case, the provisions of relevant
legislation.
2.1.1.8 Dividend policy
According to the current legislation, the company is legally obliged to form a legal reserve and distribute
to its shareholders at least 35% of the earnings that are distributable according to IFRS after the
calculation of taxes and legal reserve.
The dividends are proposed by the management of the company at the end of each fiscal year subject
to the approval of the Annual Ordinary General Meeting of shareholders.
The company's Board of Directors will propose to the General Assembly the statutory withholding of an
amount for the creation of the company's Regular reserve and the distribution of the mandatory
dividend, which amounts to 35% of the profits that can be distributed after first deducting the income
tax and the reserve for Regular reserve.
The Ordinary General Meeting of shareholders of June 12, 2023, decided to distribute a dividend of a
gross amount of 848.388,04 euros, i.e. 0,1314 euros per share, with Beneficiary Determination Date:
Tuesday, July 18, 2023, Cut-off Date: Monday, July 17, 2023, Date start of dividend payment: on Friday
21 July 2023 and Paying bank: Alpha Bank.
It should be noted that according to law 4646/2019, the profits distributed by legal entities, from the year
2019 onwards, are subject to withholding tax at a rate of 5%.
SPACE HELLAS S.A.
Annual Financial Report 2023
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2.1.1.9 Participating interests and investments
Direct Indirect
Subsidiaries
SPACE HELLAS (CYPRUS) LTD
Cyprus
ICT
100% -
SPACE HELLAS Doo Beograd-Stari Grad
Serbia ICT
- 100%
SPACE HELLAS (MALTA) LTD
Malta ICT
- 100%
SPACE ARAB LEVANT TECHOLOGIES COMPANY
Jordan ICT
- 100%
SENSE ONE TECHNOLOGIES Single Member
S.A.
Greece Internet of Things (ΙοΤ) 100%
SINGULARLOGIC S.A.
Greece IT and Software 99,93%
-
G.I.T. HOLDINGS S.A. Greece Holding company - 100%
G.I.T. CYPRUS LIMITED. Cyprus Holding company - 100%
SINGULARLOGIC ROMANIA COMPUTER
APPLICATION S.R.L.
Romania IT and Software - 40%
SINGULARLOGIC CYPRUS LIMITED Cyprus IT and Software - 99,88%
Associates
Web-IQ B.V.
Netherlands Specialiased applications 32,28% -
AgroApps Private Company
Greece
Specialiased applications in
agriculture
35% -
Other investments
MOBICS S.A.
Greece Software development 18,10% -
P-ΝΕΤ Emerging New Generation Networks
and Applications P.C.
Greece Software development 2,27% -
14ByDesign
Greece Spin off 2,00% -
Ownership
percentage
Corporate name
Country
Sector
On August 04, 2023, the company GIT CYPRUS LTD was put into liquidation. On December 22, 2023,
based on the announcement no. 3180877 of the GEM, the company GIT HOLDINGS SA was put into
liquidation.
On September 22, 2023, Space Hellas S.A. sold its minority stake (39,97%) held in the share capital of
"Epsilon SingularLogic SA" with the buyer company being "EPSILON NET S.A." and the price amounting to
11,8 million euros, while at the same time it purchased 39,933% of the company "SingularLogic Anonyme
Company of Information Systems and IT Applications" (hereinafter "SINGULARLOGIC") from the
company "EPSILON NET S.A." with the price amounting to 6,3 million euros.
On November 18, 2022, it was decided to dissolve and liquidate the sub-subsidiary company SPACE
HELLAS SYSTEM INTEGRATOR SLR, which was deleted from the relevant Romanian register in the first
quarter of 2023. The result of the liquidation was charged on the results of the group.
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Annual Financial Report 2023
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On December 12, 2022, the agreement for the transfer of part of the shares of SINGULARLOGIC
ROMANIA COMPUTER APPLICATION SRL was signed, for the 59,97% owned by SINGULARLOGIC AE and
0,03% owned by the associated company GREEK INFORMATION TECHNOLOGY CYPRUS LTD. Following
the aforementioned transfer, SINGULARLOGIC's shareholding in SINGULARLOGIC ROMANIA amounts to
40% and is consolidated using the equity method.
2.1.1.10 Commitments -Guarantees
The contingent liabilities for letters of guarantee granted both for the Company and the Group are the
following:
Amounts in € thousand
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Guarantee letters to secure good performance of
contract terms
14.619 11.997 12.883 11.121
Total contingent liabilities
14.619 11.997 12.883 11.121
Group
Company
➢ The company had guaranteed, in favour of banks, a total amount of €28.730 thousand for its
subsidiary SINGULARLOGIC S.A. Out of the approved guaranteed financing limits, the funds used
amount to €10.541 thousand.
2.1.1.11 Excess clause provisions and Disputed claims
There are no cases that might have a significant impact on the financial position of either the Group or
the Company.
2.1.1.12 Other Contingent Liabilities
For the unaudited tax years of the Group companies, as mentioned in note 4.6.30, there is the possibility
of imposing additional taxes and surcharges at the time of their examination and finalization by the
competent tax authorities. The company has formed a cumulative provision of € 61 thousand in order
to cover the possibility of imposing additional taxes in the event of an audit by the tax authorities. For
the other Group companies, no provision has been made for unaudited tax years, as it is estimated that
the charge for the imposition of additional taxes will be insignificant.
SPACE HELLAS S.A.
Annual Financial Report 2023
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It should be noted that for the companies that are under the Greek tax jurisdiction, the tax years 2017
and before are considered permanently finalized.
For the years 2011 to 2015, the parent was audited by the Certified Public Accountants as provided by
para. 5, art. 82, Ν2238 / 1994, as well as article 65A of Ν4174 / 2013 to obtain the tax certificate from the
statutory auditors.
From the year 2016 onwards, the tax certificate is optional. Upon completion of the tax audit, the
statutory auditor or audit firm issues to the company a "Tax Compliance Report" to be submitted it
electronically to the Ministry of Finance, according to Circular (POL) 1124/2015, as amended by Circular
(POL) 1108/2017 no later than the tenth day of the tenth month from the date of termination of the fiscal
year.
For the Company, for the years 2011 to 2022, this audit has been completed with the issuance of the
relevant Tax Compliance Reports without qualification.
There is ongoing tax audit of the company for the year 2022 by statutory auditors, from which no
significant additional charges are expected to arise.
The Group forms a provision when deemed necessary, case by case and by company,
against possible additional taxes that may be imposed by the tax authorities.
Apart from those mentioned above, there are no other significant contingent liabilities.
2.1.2 OTHER INFORMATION
2.1.2.1 Personnel figures
Group Management is based on a team of experienced and competent executives who are fully
aware of their subject matter and market conditions, contributing to the smooth operation and further
development of the Group.
A table showing the average number of employees of the company and the Group employed during
the current and previous years, as well as the salary, wages and salaries and insurance charges, is
broken down into categories as follows:
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Annual Financial Report 2023
21
Amounts in € thousand
2023 2022 2023 2022 2023 2022
751 783 21.724 21.477 5.351 5.199
Group
Personnel average
Payroll
Social security expense
Amounts in € thousand
2023 2022 2023 2022 2023 2022
593 531 17.065 15.211 3.656 3.261
Company
Personnel average
Payroll
Social security expense
2.1.2.2 Branches
The operating branches (except the company’s headquarters on Mesogion Ave 312 as of 31.12.2023
are the following:
No Establishment Address
1. Cholargos 302 Ave. Mesogion Cholargos
2. Cholargos 6 Loch. Dedousi Str, Cholargos
3. Thessaloniki G.-I. Kar. & P. Kyrillou, Thessaloniki
4. Athens Em. Mpenaki 59, Athens
5. Patra Gkotsi 26-28, Patra
6. Crete G. Gennimata 62, Crete
7. Crete G. Gennimata 43, Crete
8. Ioannina D. Hatzi 45, Ioannina
9. Larissa 14 str Canada & N. Plasitra, Farsala
10 Cyprus Griva Digeni 81-83 Nicosia
11. Agia Paraskevi Kondylaki 3, Agia Paraskevi
12. Agia Paraskevi 318 Ave. Mesogion Cholargos and Kondylaki Str.
The company periodically monitors and evaluates the effectiveness of its geographic expansion
through its branches.
2.2 SIGNIFICANT FACTS DURING THE YEAR 2023 AND THEIR IMPACT ON THE FINANCIAL STATEMENT
Significant facts that took place during the period from 1st January to 31st December 2023 are the
following:
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Annual Financial Report 2023
22
➢ On March 23, 2023, SPACE HELLAS announced the issuance of a joint bond loan with a total nominal
value (capital) of nine million six hundred thousand euros (€9,600,000) based on the provisions of
Law 4548/2018 (Articles 59 to 74) and Law 3156/2013 (article 14), as they apply to the financing of
eligible costs of an investment project within the context of the Recovery and Resilience Fund (RAF).
The issuer is SPACE HELLAS, and the bond lenders: a) the Hellenic State (bondholder A') at a rate of
62,5% and b) "ALPHA BANK JSC" (bondholder B) at a rate of 37,5%. The payment manager and
representative of the bondholders is "ALPHA BANK STOCK". The loan will be used by the issuer for the
implementation of its investment plan regarding its digital transformation with modern technologies
and based on its needs, in the context of which (digital transformation) infrastructure upgrade,
network upgrade, security upgrade and upgrade applications, and has been determined
definitively eligible to receive funding through the TAA. The loan will have a duration of ten (10)
years.
Also, on December 30, 2022 our subsidiary SINGULARLOGIC S.A entered into an agreement for the
issuance of a joint bond loan with a total nominal value (capital) of six million four hundred thousand
euros (€ 6.400.000) based on the provisions of Law 4548/2018 (Articles 59 to 74 ) and of Law
3156/2013 (article 14), as they apply to the financing of eligible costs of an investment plan within
the context of the Recovery and Resilience Fund (RAF). The issuer is SINGULARLOGIC S.A. and bond
lenders: a) the Hellenic State (bondholder A) at a rate of 62,5% and b) Optima Bank
S.A.(bondholder B) at a rate of 37,5%. The payment manager and representative of the
bondholders is Optima Bank S.A. The loan will be used by the issuer for the implementation of its
investment plan regarding its digital transformation with modern technologies and based on its
needs, in the context of which (digital transformation) infrastructure upgrade, network upgrade,
security upgrade and upgrade applications, and has been determined definitively eligible to
receive funding through the TAA. The loan will have a duration of ten (10) years.
➢ Thirty-sixth Ordinary General Meeting of Shareholders of 12-06-2023: The following agenda items
were discussed and decided upon:
o Topic 1: Submission and approval of the annual financial statements (corporate and
consolidated) drawn up in accordance with international financial reporting standards for the
corporate year 2022 (1/1/2022 - 31/12/2022) after the relevant reports and statements of the
board of directors and the statutory auditor.
SPACE HELLAS S.A.
Annual Financial Report 2023
23
o Topic 2: Approval of the distribution of the results of the corporate year 2022 (1/1/2022 -
31/12/2022), including the distribution of dividends for the year in question. Provision of
authorizations to the board of directors of the company.
o Topic 3rd: Approval of the overall management that took place during the corporate year 2022
(1/1/2022 - 12/31/2022) and relief of the statutory auditors for the aforementioned corporate
year in accordance with articles 108 and 117 par 1 para. c) Law 4548/2018.
o Topic 4th: Election of an auditing firm of statutory auditors for (i) the audit of the annual and the
overview of the interim financial statements (corporate and consolidated) for the corporate
year 2023 (1/1/2023 - 31/12/2023), in accordance with international financial reporting
standards, and (ii) issuing a tax certificate for the use in question, as well as determining the fee
thereof.
o Topic 5th: Submitting for discussion and providing an advisory vote on the remuneration report
for the corporate year 2022 (1/1/2022 - 31/12/2022).
o Item 6th: Approval of paid fees and compensations to the members of the board of directors
for the corporate year 2022 (1/1/2022 - 31/12/2022) and pre-approval of fees and
compensations for the corporate year 2023 (1/ 1/2023 - 31/12/2023).
o Item 7th: Submission for approval of the new remuneration policy due to the lapse of four (4)
years since its last approval in accordance with article 110 par. 2 sec. 2 n. 4548/2018.
o Topic 8th: Submission of the audit committee's annual report to the shareholders for the 2022
corporate year (1/1/2022 - 31/12/2022).
o Topic 9th:. Announcing the decision of the company's board of directors to elect a new
independent non-executive member of the board of directors to replace a resigned
independent non-executive member and making a decision to confer the status of
independent non-executive member of the board of directors to the new member elected by
the board of directors. Confirmation of the number of independent non-executive members of
the board of directors.
o Item 10th: Submission of the reports of the independent non-executive members of the board of
directors for the period from 1/1/2022 to 12/6/2023 in accordance with article 9 par. 5 of Law
4706/2020.
o Item 11th: Various announcements.
➢ The Ordinary General Meeting of the shareholders of 12.06.2023 decided to distribute a dividend of
a gross amount of 848.388,04 euros, i.e. a gross amount of 0,1314 euros per share to the shareholders,
SPACE HELLAS S.A.
Annual Financial Report 2023
24
with Beneficiary Determination Date: Tuesday, July 18, 2023, Cut-off Date: Monday, July 17, 2023,
Dividend start date: Friday, July 21, 2023, and Paying bank Alpha Bank.
➢ On 16/6/2023, the company SINGULARLOGIC S.A paid in full the interest-bearing loan granted to it
by SPACE HELLAS in accordance with the contract signed on 1 July 2021 and announced to the
investing public by the 13-04-2021 decision of the Administrative Board Council of SPACE HELLAS for
the provision of a special license, in accordance with articles 99 et seq. of Law 4548/2018, for the
granting of an interest-bearing loan to SINGULARLOGIC S.A.in the form of a precautionary financing
line and for a capital amount of up to €1.000.000,00 with repayment of the entire amount at maturity.
➢ Space Hellas S.A. sold its minority stake (39,97%) held in the share capital of "Epsilon SingularLogic
SA" with the buyer company being "EPSILON NET S.A." and the price amounting to 11,8 million euros,
while at the same time it purchased 39,933% of the company "SingularLogic Anonyme Company of
Information Systems and IT Applications" (hereinafter "SINGULARLOGIC") from the company "EPSILON
NET S.A." with the price amounting to 6,3 million euros. To determine the purchase price of the shares
of SINGULARLOGIC S.A. and the sale price of the shares of Epsilon SingularLogic S.A., both the Equity
of each company and the Reports of Independent Auditors were taken into account, from which it
follows that the sales prices & acquisition correspond to the fair value of the companies
SINGULARLOGIC SA and Epsilon SingularLogic SA. These two simultaneous transactions make SPACE
HELLAS the owner of 99,933% of "SINGULARLOGIC" and "EPSILON NET S.A." shareholder with a
percentage of 99,973% in the company "Epsilon SingularLogic SA", capitalizing on both sides the
values that were created through the joint creative process of the two companies that started with
the acquisition of 50%-50% of "SINGULARLOGIC" on 11/01 /2021. The successful joint effort will
continue to exist in the common commercial and technological fields of cooperation that have
been created and in the joint process of finding new products and solutions as originally planned
by the managements of the two groups. According to the original plan, SINGULARLOGIC, as a
member of the SPACE HELLAS group, focused on the field of large projects and clients, both private
and public, and focused on the reorganization of the company, on capital reinforcement, on the
strengthening of human resources, but also on all infrastructure of the company. The R&D and
application development department was strengthened and the renewal of the software and
applications supported by the company began vigorously. At the same time, created structures
and processes were created, capable of providing 24-hour support with strict Service Level
Agreements to the company's entire clientele. SINGULARLOGIC focused on creating new products
and partnerships with international software houses and other Greek companies. Also, the
SPACE HELLAS S.A.
Annual Financial Report 2023
25
commercial penetration of the company in the market was significantly strengthened with the
successful undertaking of projects that increased the outstanding amount by exploiting the
synergies with the other companies of the group. Finally, within 2023, the company undertook and
successfully executed three consecutive election contests and is preparing for the next ones. SPACE
HELLAS, with the acquisition of 99,933% in its subsidiary SINGULARLOGIC, focuses on strengthening
the group's leadership position in Digital Integration by leveraging the cooperation and tools from
the largest software manufacturers worldwide, such as SAP, Microsoft, ServiceNow, etc., as well as
self-produced SINGULARLOGIC software. With a comparative advantage of significant expertise in
the integration and support of systems and applications and the integration of different
technologies and services, SINGULARLOGIC focuses on medium and large private sector clients as
well as targeted public sector projects with a multitude of systems and services.
➢ By decision of the regular general meeting of the shareholders on 27.6.2023, the capital of the
subsidiary SENSE ONE TECHNOLOGIES MONOPROSOPI S.A. was reduced by the amount of six
hundred and sixty thousand euros (€660.000,00), with an equal amount of write-off of the accounting
losses and thus after the above, the share capital of the Company was established in the amount
of six hundred thousand euros (€600.000,00) divided into forty thousand (40.000) shares with a
nominal value of fifteen euros (€15,00) each. Thus, the company's share capital amounts to six
hundred thousand euros (€600.000,00) divided into forty thousand (40,000) shares with a nominal
value of fifteen euros (€15,00) each.
➢ On July 5, 2023, the company SINGULARLOGIC S.A. paid off in full the interest-bearing loan granted
by SPACE HELLAS, based on the contract signed on December 14, 2022 and announced to the
investing public with the decision of its Board of Directors dated 14-12-2022 for the provision of a
special permit, in accordance with articles 99 et seq. of Law 4548/2018, which was required to allow
for the granting of an interest-bearing loan to SINGULARLOGIC S.A. in the form of a preventive
financing line for a capital amount of up to €1.500.000,00 with repayment of the entire amount to
expiry.
➢ On June 16, 2023, SPACE HELLAS S.A. announced that:
A) The company's board of directors, at its meeting on 13-6-2023, unanimously decided the
following:
-The confirmation of the appointment of Mr. Eirinaios Theodoros as (independent) member (a) of
the board of directors for the period until the end of the term of office of the board of directors,
SPACE HELLAS S.A.
Annual Financial Report 2023
26
which is six years and exceptionally extended until the end of the deadline, within which the next
regular general meeting must be held and until the relevant decision is taken, i.e. in this case no
later than September 10, 2026, subject to any repeat or postponed meeting as well as (b) the audit
committee, definitively, for the same term.
-The confirmation of the appointment of Mr. Eirinaios Georgiou Theodoros as a member of the
remuneration and nominations committee of the company, definitively and for the remainder of
the committee's term, which is identical to that of the company's board of directors.
Following the above confirmation of the final appointment of Mr Eirinaios Theodoros as an
independent member of the audit committee, the audit committee at its meeting on 14-6-2023, in
accordance with its operating regulations and article 44 of Law 4449/2017, reassembled into a body
as follows:
• Eirinaios G. Theodorou, Chairman, independent non-executive member of the company's board
of directors.
• Emmanouil I. Chatiras, Member, independent non-executive member of the company's board of
directors.
• Theodoros N. Chatzistamatiou, Member, non-executive Vice-President of the company's board of
directors.
Likewise, the remuneration and nominations committee at its meeting on 14-06-2023, in accordance
with its operating regulations and article 10 par. 3 of Law 4706/2020 was reconstituted into a body as
follows:
• Emmanouil I. Chatiras, President, independent non-executive member of the company's board of
directors.
• Theodoros N. Chatzistamatiou, Member, non-executive vice-president of the company's board of
directors.
• Eirinaios G Theodorou, Member, independent non-executive member of the company's board of
directors.
➢ On 07/12/2023, the General Assembly of the shareholders of SINGULARLOGIC CYPRUS decided to
increase its share capital by the amount of €1.583.398,44 with the capitalization of obligations owed
by the subsidiary SINGULARLOGIC CYPRUS to the parent SINGULARLOGIC S.A. and cash payment in
the amount of €1.449,38. Following the above, the total share capital of the company amounts to
€1.754.398,44, divided into 718.174 class A and 307.790 class B shares. SINGULARLOGIC S.A's
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Annual Financial Report 2023
27
participation rate was 99,88% from 98,80% before the increase and corresponds to 718.174 class A
shares and 306.590 class B shares, worth 1,71 each.
➢ On December 27, 2023, it was announced that in accordance with the applicable provisions of the
legal framework and following its announcement of 13/11/2023, SPACE HELLAS S.A.
Telecommunications, IT, Security Systems and Services - Private Security Services Company
(hereinafter "SPACE HELLAS"), announces the following: On 22/12/2023 it was registered in the
General Commercial Register (G.E.M.I.), with Code Registration number 3949731, the number
1007/22.12.2023 decision of the G.E.MH Service. of the Chamber of Commerce of Thessaloniki (AD:
6ΡΡΣ469ΗΡΥ-ΒΘΤΣ), which approved the division by spin-off of the branch of services and sales of
integrated systems to retail and fuel companies Retail & Fuel (hereinafter "Retail & Fuel Branch") of
the company with the name "SINGULARLOGIC ANONIME COMPANY OF INFORMATION SYSTEMS
AND INFORMATION APPLICATIONS" and the distinguishing title "SINGULARLOGIC S.A.", a subsidiary of
"SPACE HELLAS", and its contribution to the company under the name "EPSILON SINGULARLOGIC
S.A." with number GE.MI. 157876205000, a subsidiary of the company "EPSILON NET S.A.", against the
issue of 2.290.076 new common registered shares of "EPSILON SINGULARLOGIC S.A.", with a nominal
value of €1,00 and an offer price of €1,31 each (hereinafter the "New Shares") in "SINGULARLOGIC
S.A.", in accordance with the applicable provisions of Law 4601/2019 and Law 4172/2013. With the
approval of the division by separation of the Retail & Fuel Branch, the following results were
achieved: • The spin-off of the Retail & Fuel Branch of SINGULARLOGIC S.A. was completed. with a
spin-off balance sheet date of 31/10/2023 and its contribution to the beneficiary EPSILON
SINGULARLOGIC S.A., which is substituted as universal successor to the entire transferred property,
as reflected in the accounting statement of the Retail & Fuel Branch (as of 31/10/ 2023) and formed
until the day of completion of the separation. • The share capital of EPSILON SINGULARLOGIC S.A.
was increased. by €2.290.076 with the issuance of New Shares for the benefit of the contributor to
the Retail & Fuel Sector SINGULARLOGIC S.A. Finally, on the same date, i.e. on 22.12.2023, the transfer
of the New Shares to EPSILON NET S.A. was completed. from SINGULARLOGIC S.A., against the
agreed price of € 3.000.000, which was paid in full.
Given the energy crisis and inflationary pressures, as well as rising interest rates, it is difficult to predict
the range of possible outcomes for the global economy at this point.
The future impact will be assessed in light of the going concern basis of accounting used in the
preparation of these Financial Statements. With regard to the Group's activities, the Management
SPACE HELLAS S.A.
Annual Financial Report 2023
28
closely monitors developments by implementing emergency plans where necessary to limit possible
adverse effects.
After the clarifications in the relevant paragraphs above, regarding the spread of the coronavirus, the
energy crisis and the inflationary pressures that constitute a non-adjusting event, there are no other
events subsequent to the financial statements that concern either the Group or the company and
which are required to be reported by the International Financial Reporting Standards.
2.3 BUSINESS PERSPECTIVES FOR THE GROUP AND THE COMPANY
2.3.1 INTRODUCTION
The growth rate of the Greek economy for the whole of 2023 according to the first estimates is close to
2% and is at higher growth levels compared to the Eurozone. 2023 was marked by particularly tragic
events such as the Tempe accident, the catastrophic flood in Thessaly and other natural disasters, which
led to a redefinition of the state's priorities and had an impact on specific sectors of the economy.
At the same time, 2023 was a year of two parliamentary, municipal and regional election contests,
which caused delays in the development of new projects and decision-making but also led to a
significant increase in the income of Singular Logic, a subsidiary of the Space Hellas group, which
executed the corresponding contracts for the collection and transmission of election results.
Despite any negative effects, the Space Hellas group, in 2023, continued its development course by
implementing a number of very important projects in both the public and private sectors, having a
significant amount of uncompleted projects.
At the same time, the group is constantly looking for new business opportunities and investments both
in Greece and abroad.
2.3.1 PRIVATE SECTOR AND STATE-OWNED COMPANIES
In the private sector, the group's traditional clientele includes large banking organizations,
telecommunications providers, retail chains, industries and energy providers. To clients such as OTE,
NOVA, OPAP, Piraeus Bank, National Bank of Greece, Alpha Bank, Bank of Greece, DEDIE, ADMIE, PPC,
ELPE, ELTA, AIA, FRAPORT, Medical Group, VELPI etc. Space Hellas executes projects and maintains
support and service contracts, leveraging its know-how in a wide field of technological solutions in the
field of ICT.
Space Hellas continues to place special emphasis on the needs of private sector organizations since
the largest percentage of its revenue comes from there.
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2.3.2 PUBLIC SECTOR
In the public sector, Space Hellas has a significant presence in organizations that have secured
financing, and it chooses to compete in projects in which it has the know-how, and it has the necessary
specialized and certified human resources in the technological objects that it undertakes in the role of
Systems Integrator with its participation independently or /and in collaboration with stable and reliable
partners, depending on the circumstances of each project. In the last five years, significant funds have
been allocated for the digital transformation of the State, mainly from the Development Fund with very
strict schedules, and Space Hellas is one of the important technological implementers with consistency
in timely delivery, maintaining its good reputation.
An indicative list of the most important State projects under implementation are the following:
❑ Ministry of Education: "Supply and installation of interactive learning systems" (as a
subcontractor), 32 million euros.
❑ Ministry of Education: "Supply and installation of laboratory equipment for Vocational Education
and Training structures", 15,4 million euros.
❑ Ministry of Education: "Supply of robotics and STEM equipment for education", as subcontractor
8 million euros.
❑ Information Society (association of companies): "Modernization and strengthening of the existing
on-premises infrastructure of the Government Computing Cloud (G-Cloud) and creation of a
second hub and provision of Public Cloud & Platform services //AaaS//", 18 million euros.
❑ Information Society: SYZEFXIS II, Signing of execution contracts in a company association for the
Subproject: 3: "Security, Telephony, Teleconferencing, Cabling" framework agreement of total
budget 132,6 million euros including extension option plus VAT, and withholding amounts.
❑ Information Society: Project Syzeuxis II, Sub-project 5 (association of companies): "Central ISP &
SLA Services" contract price 16,2 million euros plus VAT and withholding amounts.
❑ Information Society (association of companies): "Upgrading the network infrastructures of the
PSD", 9,8 million euros.
❑ KtP (EMY): Installation of Meteorological Stations & Development of Internet Portal Infrastructure,
9,6 million euros.
❑ Information Society (association of companies): "National Telemedicine Network (EDIT)", 7 million
Euros.
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❑ Ministry of Justice (association of companies): Video conferencing services in courts and
penitentiaries and provision of information services on the course of the courts' tables and
exhibits (Electronic Board), 13,5 million euros.
❑ Information Society (Ministry of Foreign Affairs)/ (association of companies): Development -
Expansion of Telecommunications Infrastructure of the Ministry of Foreign Affairs, 6,7 million Euros.
❑ Ministry of Foreign Affairs: Expansion and upgrade of data centers (Data Centers) of the Ministry
of Foreign Affairs that host equipment of the EES, ETIAS, VIS and other Interoperability systems, 1,6
million Euros.
❑ Ministry of Citizen Protection: "Development of IT and Telecommunications systems to Strengthen
the national ability to control and monitor external borders", 26 million euros.
❑ Ministry of Immigration and Asylum: Integrated digital Electronic and Physical Security
management system with Cyber Security support for the protection of human life, property and
operations of reception and hospitality structures for citizens of third countries 3,4 million euros.
❑ Region of Attica: Supply of Equipment for the completion of the construction of the AEK stadium,
as a subcontractor, 2 million euros.
❑ Ministry of Shipping and Insular Policy: Supply of information and telecommunications equipment
for the Headquarters of the Coast Guard - Hellenic Coast Guard, 2,5 million Euros.
Public works - to sign a contract:
❑ Information Society (association of companies): "Support to public bodies with the aim of
complying with the European data protection regulation GDPR (General Data Protection
Regulation)", 11,5 million euros.
❑ Ministry of Foreign Affairs: Development of a National Information System for the European Travel
Information and Authorization System (ETIAS), 2,5 million Euros.
❑ CAA: Supply & Installation of Airport Terminal Area Automatic Information Broadcasting Service
Systems (Voice/Data Link-ATIS) & Meteorological Information Automatic Broadcasting Service
System, 1,8m Euro.
❑ Information Society (Ionian University): Infrastructure Upgrade, 1 million Euro.
The most important State projects - under evaluation are the following:
❑ Ministry of Shipping and Island Policy: "Development of the National System of Integrated
Maritime Surveillance", 50 million euros. Participation as a subcontractor.
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❑ EETT (association of companies): "Development of a Network of Fixed and Mobile Radio
Frequency Spectrum Monitoring Stations, Wireless Digital Voice Network and Wireless Data
Transmission Network" (Section-3), 4 million euros.
❑ Coast Guard: Procurement of a fingerprint/palm print acquisition and identification system (AFIS)
- taking photos of a person/person, 1,6 million Euros.
❑ CAA: Procurement of Air Navigation Systems for the purpose of relocation of the Athens
approach, 4,2 million Euros.
❑ EFKA: Supply of software for the management of the e-EFKA central user directory, the central
management of the e-EFKA systems, 4,1 million Euros.
❑ Information Society (ISIS): Supply of Meteorological Stations for the Early Warning of Natural
Disasters, 5 million Euros.
❑ Municipality of Trikkaia: Supply of Hardware Infrastructure for the Operation of the Digital
Asklepiou - Asklepiou Park, 420 thousand Euros.
❑ GGET (as subcontractors): THORAX – Scalable Holistic Hybrid Operational Autonomous System,
49,1 million Euros (total budget).
❑ EDIKA (as subcontractors): Improving the Digital Readiness of Hospitals, framework 24 million
euros. (total budget)
2.3.3 INTERNATIONAL PRESENCE
The international presence of the group through the subsidiaries in Cyprus, Malta, Serbia and Jordan,
where Space Hellas is a licensed telecommunications provider, continues to be the main axis of
extroversion and efforts to increase revenues from abroad. The main activity of the group abroad is the
possibility of providing telecommunication services in more than 150 countries through 8
telecommunication hubs in cooperation with more than 320 international providers. It also selectively
participates in ICT projects in which the Group has expertise and a competitive advantage.
Specifically, the updated list of the company's projects outside of Greece is as follows:
❑ Armenia:
❑ Participation as a member of an association of companies in an RFI for the procurement and
operation of a National Secure Document Production System.
❑ Cyprus:
❑ Implementation of a contract for the Access control System of the City of Dreams Mediterranean
International Casino Resort Limassol, 1 million euros.
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32
❑ Continuation of 13 years of service to the Department of Meteorology for the project "Provision
of Meteorological Radar Services" for the Government of the Republic of Cyprus, Ministry of
Agriculture, Rural Development and Environment.
❑ Support for the ticketing and access control system at the GSP stadium in Nicosia.
❑ Evaluation of an offer to the Cyprus Police for premises surveillance systems.
❑ Bid evaluation (as a subcontractor) in the Integrated Municipality System tender, 5,7 million euros.
❑ Bid evaluation in the tender of the Ministry of Foreign Affairs for the ETIAS project, 8,5 million euros.
❑ Bid evaluation (as a subcontractor) in the Ministry of Foreign Affairs tender for the VIS project, 14,5
million euros.
❑ Malta:
❑ Continue the 7-year hybrid cloud service contract with the Maltese Government (MITA: Malta IT
Agency).
❑ Jordan
❑ Provision of telecommunication services through the subsidiary company Space Arab Levant
Technologies.
❑ Serbia:
❑ Provision of telecommunication services through the subsidiary company Space Hellas D.O.O.
Belgrade-StariGrad.
❑ Germany:
❑ Provision of telecommunications services and interconnection with international data networks
and cloud providers.
2.3.4 RESEARCH AND DEVELOPMENT
In the field of research and development (R&D), twenty-nine (29) projects (European and National) are
underway, with a total amount of funding for Space Hellas of approximately 10,39 million euros. Space
Hellas participates with particular success in the programs of the European Commission (Horizon Europe,
EDF, Digital Europe), holding a leading role in the EU in Cyber Security, Artificial Intelligence, advanced
5G/6G Communication Systems, and Quantum Systems of secure communications as well.
In addition, within the first half of 2024, four new approved projects of the Horizon Europe Program are
being contracted, with total funding for Space Hellas of €1,57 million, while the results of the evaluation
of eleven (11) more projects of the Horizon Europe and European Defense Fund programs are awaited
in total financing for Space Hellas €7 million.
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The aim is to acquire know-how and develop innovative solutions and applications that can strengthen
the company's commercial activity in new areas and differentiate it from the competition.
Space Hellas participates in two Private Capital Companies - Technovlastos with the aim of exploiting
the results of scientific research and know-how:
• π-NET Emerging New Generation Networks and Applications.
• Competence Center for Industry 4,0 from Design to Implementation.
Space Hellas also participates, as a Full Industry Member, of the 6G Infrastructure Association (6G IA),
which is the voice of the European industry for research and innovation in next-generation networks and
services.
2.3.5 PERSPECTIVES
The international developments from the two fronts of the war in Ukraine and the Middle East and the
recent deterioration of the war scene with the involvement of Iran and Israel certainly create intense
reflection on the effects on the international economy, international transport and energy costs.
Nationally, 2023 was a year marked by an unprecedented increase in natural disasters and the tragic
Tempe accident. These events caused the reallocation of state budget funds and the partial redesign
of the Recovery and Resilience Fund (RRF) resources that may affect the future planning of some digital
transformation projects for the coming years.
The growth course of the Greek economy with rates greater than the Eurozone and its gradual return to
the investment grade by international houses create an optimistic investment climate in many sectors
and compensate for the negative international climate.
The technology space continues to be an important tool to accelerate investment plans but also to
transform many organizations with the use of modern Data Centers, cloud services, smart applications
and the utilization of IoT devices where the use of artificial intelligence is increasingly extended to the
management of large volumes data and the automation of digital systems. In such a digitally
developed world, the field of cyber security and the protection of sensitive personal data as well as
critical infrastructure in which Space Hellas operates is one of the national priorities that has ramifications
and partnerships both at the European level with very significant funds and partnerships with technology
companies global scope.
The change in the shareholding of Singular Logic with the acquisition by Space Hellas of 99,93% and the
sale of the percentage it held to Epsilon SingularLogic in September 2023 strengthened the funds of
SPACE HELLAS S.A.
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34
Space Hellas and it creates the conditions for better targeting of the group's companies in products
and services related to the clientele of large private sector groups and the preparation for claiming
new government digitization projects.
The growth path of Space Hellas with the companies of the SingularLogic group in the field of software,
with SenseOne in IoT, with Web-IQ in Open Source Intelligence and with AgroApps in Smart Agriculture
for the next years is focused on strengthening human resources, the investments in R&D to acquire know-
how and create innovative solutions and applications, the upgrading of infrastructures and possible
acquisitions of companies that expand products and services.
2.4 RISK MANAGEMENT AND HEDGING POLICY
The Group and the Company, in the context of normal business activities, are exposed to a series of
financial and business risks and uncertainties linked both to the general economic situation and to the
more specific conditions emerging in the industry.
The constant targeting of the Company and the Group to improve specialized know-how, the
continuous investment in well-qualified human resources and the constantly improved infrastructures
combined with the development of new products help the Group to be competitive and approach
new markets, limiting risks.
In addition, the significant amount of uncompleted projects, the commitment to adapting the group's
structures to the new business environment and the continuous evaluation of business opportunities
with a view to creating goodwill give us the right to believe that we will meet the needs of the critical
year ahead.
The Group is exposed to the following:
❑ Financial Risk Factors
The Group is exposed to various financial risks, including unpredictable fluctuations in exchange rates
and interest rates, market risks, credit risks and liquidity risks. The overall risk management program of the
Group seeks to minimize the possible adverse effects of these fluctuations on the financial performance
of the Group.
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35
Risk management policy is applied by the Group's management through the assessment of the risks
associated with the Group’s activities and functions, and the design of the methodology is carried out
by selecting the appropriate financial products in order to achieve risk reduction.
The financial instruments used by the Group consist mainly of bank deposits, transactions in foreign
currency at current prices or short-term currency futures, bank overdrafts, accounts receivable and
payables.
❑ Foreign Exchange Risk
The Group's exposure to currency risks comes mainly from existing or expected cash flows in foreign
currency (imports - exports). The management of the Group constantly monitors the fluctuations and
the trend of foreign currencies and evaluates each case separately, taking the necessary measures
where necessary through agreements to cover exchange risks.
The situation shaped today by both the war in Ukraine and the energy crisis, as well as the rising trend
of interest rates worldwide, inevitably also affects exchange rates. The management of the exchange
risk requires complex policies that link the exchange risk coverage tools (currency options) with the
commercial and cost strategy of the Group. The rapid changes oblige us to closely monitor offers and
contracts that include currency risks, reform them where possible and cover the currency risk using
futures contracts.
The main trading currencies of the Group are the Euro and USD.
In the table below, there is a sensitivity analysis of the earnings before taxes due to currency exchange
rate changes:
Currency
USD
Exchange rate
variation
Effect on profit before
tax
Exchange rate
variation
Effect on profit before
tax
7% -900 7% -700
-7% 900 -7% 700
31.12.2023
31.12.2022
❑ Price Risk
The Group does not own any negotiable securities and, therefore, is not exposed to the risk of changes
in the stock market prices of securities.
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36
The Group is mainly exposed to changes in the value of the goods it supplies, and therefore, its inventory
policy and commercial policy are adjusted accordingly. To deal with the risk of the obsolescence of its
stocks, the Group implements rational management and administration of them, in combination with
the projects and sales they concern. The nature of the market in which we operate (medium and large
market) gives us the right to manage stocks by project and type of sales.
The complexity of the projects, which requires the composition of more than one product to complete
the delivery phases, requires that the management of the orders is done with the main idea of the
delivery time of the goods and not the minimization of the holding time in the warehouses, considering
the completion of the projects in conventional times primary objective. For the same reason, the Group
invests significantly in the field of Project Management by empowering the teams with specialized
human resources and also by using modern project management tools with the aim of smoothing out
the problems that arise as much as possible. The careful management of projects in terms of continuous
control of costs and schedules is imperative.
❑ Interest Rate Risk
The Group's operating profits and cash flows are partially affected by changes in interest rates.
The Group's policy is to constantly monitor interest rate trends as well as the duration of financing needs.
Therefore, decisions on the duration, as well as the relationship between fixed and variable costs of a
new loan, are made individually for each case and at each point in time. Therefore, the majority of
loans have been concluded with variable interest rates.
The period we are going through is characterized by trends of high interest rate fluctuations, which will
inevitably affect both the financial cost of project management and the cost of investments. As the
majority of loans have been contracted with floating interest rates, the group intervenes using interest
rate risk management tools (interest rate swaps) for part of the loans contracted. An important factor
taken into account is the Euribor interest rate curve, which is subject to continuous observation and
leads to decisions to cover interest rate risks as much as possible.
Sensitivity analysis of Group’s borrowings due to interest rate changes:
Currency
euro Interest rate variation
Effect on profit
before tax
Interest rate
variation
Effect on profit before
tax
250 -250 250 -1.100
-200 250 -200 1.100
31.12.2023
31.12.2022
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37
❑ Credit Risk
Credit risk arises from cash and cash equivalents, bank deposits, derivative financial instruments, and
credit risk exposures from customers.
Trade receivables come mainly from large organizations in the private and public sector. The financial
position of the customers is closely monitored and redefined according to the new conditions. The
Group evaluates the creditworthiness of each customer, either through an independent rating body or
internally taking into account its financial position, previous transactions and other parameters,
monitoring the amount of credit provided. Customer credit limits are set based on internal or external
ratings in accordance with limits set by the Management.
The current situation, which is made up of both geopolitical instability and the fight against inflation,
leads to an increase in production costs with a simultaneous increase in financial expenses. The structure
of the Group's clientele, which consists of medium-sized and large private-sector clients, as well as large
public-sector clients involved in the digitization of the country, reduces the above risk.
For special credit risks, provisions are made for losses, taking into account the data that arise on a case-
by-case basis. The rescheduling of collections is a matter to be managed but is not linked to the
creditworthiness of our debtors.
To minimize the credit risk on cash and cash equivalents, the Group under policies approved by the
Board of Directors sets limits on the amount to be exposed. Also with regard to money market
instruments, the Group only does business with recognized financial rating institutions.
❑ Liquidity Risk
Liquidity risk is addressed both by the steady flow of receipts and by securing sufficient cash from bank
financing (focusing on on-the-project basis funding), which is based on the excellent relationship the
company has with the largest credit institutions in the country and provides sufficient credit lines to
finance our business plans.
Medium-long-term strategic plans are financed by long-term funds with particular attention to the costs
that follow them and the timing of their repayment.
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38
In addition, excellent relationships with our suppliers, which are based on long-lasting, reliable and stable
relationship, provide us with significant help in trying to smooth cash flow.
The table below summarizes the maturity profile of financial liabilities for 31.12.2023 and 31.12.2022,
respectively.
Amounts in € thousand
Total
31.12.2023 31.12.2022 31.12.2023 31.12.2022 31.12.2023 31.12.2022 31.12.2023 31.12.2022
Borrowings 72.761 70.602 41.670 22.683 24.591 41.419 6.500 6.500
Leases 3.503 2.699 1.028 1.253 2.475 1.446 0 0
Trade and Other liabilities 64.430 66.420 64.430 66.420 - - 0 0
Less than 1 Year
1 to 5 years
>5years
Group
Amounts in € thousand
Total
31.12.2023 31.12.2022 31.12.2023 31.12.2022 31.12.2023 31.12.2022 31.12.2023 31.12.2022
Borrowings 65.610 66.523 38.049 20.263 21.061 39.760 6.500 6.500
Leases 3.079 1.835 857 661 2.222 1.174 0 0
Trade and Other liabilities 55.716 57.966 55.716 57.966 0 0 0 0
Company
Less than 1 Year
1 to 5 years
>5years
❑ Capital Management
The primary objective of the Group's capital management is to ensure the maintenance of its high credit
rating and healthy capital ratios so that the Group's activities can be supported and expanded.
The leverage ratio is calculated by dividing net borrowing by total capital employed.
Amounts in € thousand
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Short term Borrowings 41.670 22.683 38.049 20.263
Long term Borrowings 31.091 47.919 27.561 46.260
Less: cash and cash equivalents -25.088 -29.185 -19.790 -27.329
Net Debt 47.673 41.417 45.820 39.194
Equity 28.183 30.632 25.605 23.315
Total capital employed 75.856 72.049 71.425 62.509
Gearing ratio 62,85% 57,48% 64,15% 62,70%
Group
Company
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39
The participation of the company and the Group in the important digitization projects carried out in the
country increases the operational profitability and is expected to create in the medium-long term an
important source of fixed service contracts.
At the same time, the financing of the aforementioned projects, which exceeds the horizon of one
financial year in combination with the continuous increase in turnover and the implementation of the
medium-long-term investment plan, affects the leverage factor through the increase in net debt.
❑ Risk factors related to Project Planning and Execution
SPACE HELLAS, through its business activities, is exposed to potential risk factors related to the
undertaking and completion of project execution, such as cost and schedule overruns, incomplete
understanding of the complexity of key factors necessary for the successful completion of the project,
the non-thorough evaluation of the contractual terms and conditions of the project, the lack of
monitoring of the progress of the project, as well as the ineffective management of non-compliance
with contractual commitments by third parties (withdrawal from the project).
❑ Proper execution and delivery of projects is a key priority for SPACE HELLAS, which is achieved
through a structured project planning and monitoring process as well as through long-term, strong
business relationships with key stakeholders. The Integration Services Division is staffed with well-
qualified human resources. Planning, monitoring and reporting on the progress of projects is
achieved through established project management procedures at regular intervals, which are
reviewed and updated whenever deemed necessary. SPACE HELLAS clearly defines the roles,
responsibilities, milestones and corresponding tasks before they start, ensuring the optimal
composition of the teams that will execute the project and the timely planning of the activities. The
stages of preliminary control and planning of each project include risk identification and assessment
actions. In addition, SPACE HELLAS carries out thorough evaluations of its suppliers, subcontractors
and external partners before entering into any business agreement and throughout the execution
of the projects. In addition, the project teams, in full cooperation with the Integration Services
Division, conduct a debriefing at the end of each project in order to gain an overview of the overall
execution and results, with the aim of drawing conclusions that will improve performance in future
projects.
❑ Risk factors related to Human Resources
Human Resources Risk involves the potential difficulty in attracting, hiring and retaining human
resources, which is primarily due to the lack of talent in the market or the potential inability to create a
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Annual Financial Report 2023
40
positive work environment due to a lack of effective communication with employees or ensuring the
continuity of critical operations due to inadequate placement planning.
SPACE HELLAS Group considers its people a necessary element for its smooth operation, and its priority
is to attract, recruit and retain specialized personnel. This is achieved by ensuring a desirable working
environment and an effective industrial relations framework that enables the development of its
employees.
Defined human resources policies and procedures, identification of critical positions within the
organization and development the corresponding succession plans, and recruitment practices that
ensure the selection of suitable and competent executives with merit and equal treatment, the
continuous training and development of employees aimed at empowering personal and technical skills
and abilities, providing incentives, both at the level of remuneration and benefits as well as at the level
of development and growth opportunities, with the aim of increasing the commitment and retention of
employees as well as the integration, into the daily operations, of the principles of diversity, equality and
equal opportunities, are factors that help in this direction.
❑ Risk from effects of climate change.
Climate change has made the occurrence of unpredictable situations more frequent with
unpredictable consequences. Due to their nature, such phenomena affect those parts of the economy
that, on the one hand, are related to weather phenomena, such as the primary sector, but also to the
direct effects of floods and fires that could affect tourism businesses. The Group and the Company
currently have zero exposure to both the primary sector and tourism businesses.
❑ Risk of COVID-19 spread
The health crisis of COVID-19 had led the global economy into a period of uncertainty and instability.
The uncertainty that has prevailed worldwide for two years since the outbreak of the pandemic has
subsided, and trading activity has returned to normal to a large extent. The Space Hellas Group
estimates that, in the context of its obligation to publish information (market disclosure), there is no
significant impact on its fundamental figures and financial situation at the present stage.
❑ Risk regarding geopolitics and the energy crisis.
The indicator of the economic climate, both at the global and European level, shows signs of recession,
as the geopolitical crisis in Ukraine continues and the crisis in the Middle East was added, which
suspended or delayed the effort to de-escalate inflation and consequently reduce costs money
through lower interest rates.
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41
The beginning of 2022 was affected by Russia's invasion of Ukraine, which marked the beginning of a
war that is still ongoing. At a time when Europe, as well as the whole world, was recovering from the
shock of the pandemic before it could return to "normality", it was faced with a new, unprecedented
condition that strengthened economic and social instability.
At the beginning of 2024, we have another extreme escalation, in the sense of the blockade by Iran
(with the cooperation of the Houthis of Yemen) of the Straits of Hormuz and, recently, the crisis in the
Middle East. In the event that the above rekindle a new energy crisis (escalation of oil and natural gas
prices and an upward trajectory of Europe's inflation), conditions of economic instability will be created
again.
On the other hand, in 2023, the Greek economy showed particular resilience despite the unfavourable
external environment, both in terms of strengthening economic activity and creating new jobs. As for
the year 2024, the forecast for the average annual growth rate of the Greek economy amounts to 2,2%,
an estimate according to which the Greek economy is expected to remain on an upward trajectory,
maintaining a satisfactory rate of GDP growth. The historically high performance of tourism, the increase
in private consumption, the acceleration of capital spending related to the Recovery Fund and the
investments postponed from 2023, including reconstruction projects in Central Greece, are expected
to provide a significant boost to GDP in 2024.
The 4th payment request, amounting to €2,3 billion, was recently submitted for the loan component of
the Recovery and Resilience Fund (RESF).
As stated in an announcement by the Ministry of National Economy and Finance, the specific request
was submitted after TAA's goal of contracting loans, amounting to 4,52 billion euros, was achieved
earlier than expected.
The Group has zero exposure to the markets of Ukraine and Russia as they are not part of its supply chain,
nor do they contribute to the turnover. Thus, no negative effects are expected due to the economic
sanctions of the EU and the countermeasures of the Russian Federation against the member countries
of the EU. Regarding the Middle East, our subsidiary in Jordan Space Arab Levant Technologies operates
in the field of remote access and management of telecommunication provision services and is not
affected by any negative developments.
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42
The Group's Management, realizing the above challenges in time and taking appropriate and targeted
measures per risk area, as has been thoroughly analyzed above, manages to keep the Group's activity
unaffected and, at the same time, record historically high performances.
2.5 IMPORTANT TRANSACTIONS BETWEEN THE COMPANY AND RELATED PARTIES
Each affiliated company follows the rules regarding transparency, independent financial management,
accuracy and correctness of its transactions, as defined by law. Transactions between the Company
and its affiliated companies are carried out at a price or consideration which is comparable to that
which would be carried out if the transaction was carried out with any other third party, natural or legal
person, with the conditions prevailing in the market at the time of the transaction.
The following transactions concern transactions with related parties, as defined by IAS 24, cumulatively
from the beginning of the financial year until its end, as well as the balances of the receivables and
liabilities of the company and the group at the end of the current year, which have arisen from the
specific transactions of the related parties.
The commercial transactions of the Group and the Company with its affiliated persons during the year
have been carried out in compliance with the usual market conditions.
The Group and the Company do not engage in any transaction of an unusual nature or content which
is material to the Group, or the Companies and persons closely related to it and does not intend to
engage in such transactions in the future. None of the transactions contain special terms and
conditions.
The following tables present the main intercompany transactions between the Company, its
subsidiaries, associates, other companies, and the members of the Management, both during the
examined period and during the previous period.
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43
Amounts in € thousand
2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
SPACE HELLAS (CYPRUS) LTD 568 363 146 146 - -
714 509 - -
SPACE HELLAS (MALTA) LTD - - 3 2 - -
3 2 - -
SPACE HELLAS D.o.o. BEORGRAD - - 3 3 - -
3 3 - -
SPACE ARAB LEVANT TECHNOLOGIES LLC - - - - - -
0 0 - -
Sense One Single mebmer S.A. - - 41 40 - -
41 40 - -
SingularLogic S.A. - - 1.513 1.367 66 57
1.579 1.424 - -
Total Subsidiaries 568 363 1.706 1.558 66 57 2.340 1.978 0 0
Web-IQ B.V. - - 83 63 - -
83 63 83 63
AgroApps P.C. - - - - - -
0 0 0 0
Total Associates 0 0 83 63 0 0 83 63 83 63
MOBICS S.A - - - - - -
0 0 0 0
Total other related parties 0 0 0 0 0 0 0 0 0 0
568 363 1789 1621 66 57 2.423 2.041 83 63
Revenue from
dividends
Sales
Income from
interest
Total income-
Parent company
Total income-
Group
A mounts in € thousand
2023 2022 2023 2022
SPACE HELLAS (CYPRUS) LTD 64 35 - -
SPACE HELLAS (MALTA) LTD 30 - - -
SPACE HELLAS D.o.o. BEORGRAD 45 31 - -
SPACE ARAB LEVANT TECHNOLOGIES LLC 402 322 - -
Sense One Single Member S.A. 190 121 - -
SINGULARLOGIC S.A. 17 38 - -
T otal Subsidiar ies 748 547 0 0
W eb-IQ B.V.
67 63 67 63
AgroApps P.C.
80 0 0 0
T otal A ssociates 147 63 67 63
MO BIC S S .A . 0 0 0 0
T otal other r e lated parties 0 0 0 0
895 610 67 63
Total Company
expenses
Total Group expenses
Amounts in € t housand
2023 2022 2023 2022
SPACE HELLAS (CYPRU S) LTD 276 189 - -
SPACE HELLAS (MALTA) LTD 0 0 - -
SPACE HELLAS D.o.o. BEORGRAD 0 0 - -
SPACE ARAB LEVANT TECHNOLOGI ES LLC 0 - - -
SingularLogic S.A 64 629 - -
Sense One Single Member S.A. 390 157 - -
Total Subsidiaries 730 975 0 0
W eb-IQ B.V. 5 7 5 7
AgroApps P.C. 0 0 0 0
Total Associates 5 7 5 7
MOBICS S.A. 0 0 0 0
Total other related parties 0 0 0 0
735 982 5 7
Total Receivables -
Company
Total Receivables - Group
SPACE HELLAS S.A.
Annual Financial Report 2023
44
Amounts in € t housand
2023 2022 2023 2022
SPACE HELLAS (CYPRUS) LTD 110 46 - -
SPACE HELLAS (MALTA) LTD 35 - - -
SPACE HELLAS D.o.o. BEORGRAD 0 44 - -
SPACE ARAB LEVANT TECHNOLOGIES LLC 34 35 - -
Sense One Single Member S.A. 0 0
SINGU LARLOGI C S.A. 4 0 - -
Total Subsidiaries 183 125 0 0
W eb-IQ B.V. 8 60 8 60
AgroApps P.C. 50 - - -
Total Associates 58 60 8 60
MOBICS S.A. - - - -
Total other related parties 0 0 0 0
241 185 8 60
Total Liabilites - Company
Total Liabilites - Group
➢ Both the services from and towards the related parties as well as the sales and purchase of goods
are contracted with the same trade terms and conditions as for the non-related parties.
➢ From the above table, the transactions between the Company and related parties have been
eliminated from the consolidated financial statements.
Table of Key Management Compensation:
Amounts in € thousand
2023 2022 2023 2022
Salaries and other employee benefits 2.497 2.440 1.440 2.263
Receivables from executives and members of the Board 2 2 2 2
Payables to executives and member of the Board 0 19 0 19
Group
Company
➢ No loans have been given to members of the Board or other executive members nor to their family
members.
The transactions and remuneration of managers and members of the Management in 2023 have been
significantly differentiated in relation to the previous year as within the year 2022, an amount of €859
thousand was accounted for as extraordinary remuneration in execution of the 22/6/2022 decision of
Ordinary General Meeting of the shareholders and the decision of 30/6/2022 of its Board of Directors,
SPACE HELLAS, of the allocation of a total of 103.308 own shares to the two beneficiaries thereof, i.e. to
the CEO of the company, Mr. Ioannis Mertzanis, and to the Financial Director of the company, Mr.
Ioannis Doulaveris.
Tables of Guarantees to third parties:
SPACE HELLAS S.A.
Annual Financial Report 2023
45
➢ The company had guaranteed against banks, for its subsidiary SINGULARLOGIC S.A., a total amount
of 28.730 thousand €; out of the approved guaranteed financing limits, the amount used amounts
to 10.541 thousand €.
2.6 ALTERNATIVE PERFORMANCE MEASURES
The European Securities and Markets Authority (ESMA / 2015 / 1415el) published the final guidelines on
Alternative Performance Measures (APMs) applicable from 3 July 2016 to securities companies traded
on organized exchanges. APMs are disclosed by publishers when publishing regulated information and
are intended to enhance transparency and promote the usefulness and fair and full information for the
investing public.
The Alternative Performance Measurement Score (EMMA) is an adjusted economic measurement of
historical or future economic performance, financial position, or cash flow other than the economic
measurement set out in the applicable financial reporting framework. APM does not rely exclusively on
the standards of financial statements but provides substantial additional information, excluding
elements that may differ from operating results or cash flows.
EMMA should always be considered in conjunction with the financial results prepared under IFRSs and
should under no circumstances be considered as replacing them. The Group uses the Custom Indicators
(EMMA) to better reflect the financial and operating performance related to the Group's activity as
such in the reference year as well as the corresponding previous comparable period.
Adjusting elements
Figures influencing the adjustment of the indices used by the Group to extract the ALPs according to
the first half of financial statements 2023 and the corresponding financial statements of the prior period
are the provisions for trade receivables impairment.
2023 2022 2023 2022
Guarantees to third parties on behalf of subsidiaries and
joint ventures
28.730 19.155 28.730 19.155
Used guarantees to third parties on behalf of subsidiaries 10.541 5.528 10.541 3271
Letters of guarantee for advance payment, good
execution and counter-guarantee
0 0 0 0
Amounts in € thousand
Group
Company
SPACE HELLAS S.A.
Annual Financial Report 2023
46
The elements affecting the adjustment of the indicators (ALPs) on 31.12.2023 and 31.12.2022 are shown
in the table below:
Amounts in € thousand 31.12.2023 31.12.2022
Comprehensive Income Statement
Provisions for impairment
-5 -240
Total
-5 -240
Group
Based on the above adjustments, the EMMAs used by the Group are formed as follows:
Adjusted EBITDA
The adjusted EBITDA of the current year shows a marginal difference in relation to the EBITDA, while
compared to the previous year the adjusted EBITDA is increased by 70,12%.
Adjusted EBIT
The adjusted EBIT of the current year shows a marginal difference in relation to the EBIT, while compared
to the previous year the adjusted EBITDA is increased by 66,12%.
Adjusted Cash Flows After Investments
The Adjusted Cash Flows after investments for the current period, compared to the previous period, it
shows a marginal difference in relation to Cash Flows after investments.
Adjusted Net Borrowing
Both in the current and the previous period, the adjusted Net borrowing is almost equal to the net
borrowing.
Regarding the definition and basis of the calculation of EDMA, a more detailed analysis is contained in
note 4.7 of this financial report.
SPACE HELLAS S.A.
Annual Financial Report 2023
47
2.7 NON-FINANCIAL INFORMATION
More than 37 years of innovation and cutting-edge technology
Business Model
The Group offers IT, telecommunications, and security services and solutions, creating added value for
all stakeholders. The Group’s business model reflects the range of its activities, as well as its competitive
advantages that allow it to pursue a successful trajectory.
SPACE HELLAS S.A.
Annual Financial Report 2023
48
Κ
Business Model
• Enterprise Software
•
Business Workflow
Optimization
•
Vertical Markets Software
•
e-Government Solutions
•
Custom Software
•
Physical Security
•
Security
•
UCC
•
Networks
• IT Systems
Our resources
• Te
ch
n
ol
og
ic
al
su
pe
ri
or
it
The value we create
Specialisation
Efficiency
Response
Effectiveness
Availability
Our competitive
advantages
Our customers
• Industries
• Enterprises
• Government bodies
• Local authorities
• Specialised sectors
▪ Agricultural
▪ Health
▪ Financial
▪ Retail
▪ Energy
Added value solutions
Value proposition
We offer innovativecutting-
edge technological
solutions and drive the
digital transformation of our
customers. The solutions we
offer bring competitive
advantages and create
new business models,
creating opportunities for
sustainable development
and business resilience.
Facilities
• More than 40 service points
across Greece
• Subsidiaries in 4 countries
• 8 branches
• 9 Space Hubs
Financial resources
• Continuous growth and
profitability
• €17.5 million in investments
Human capital
• 770 employees
• 550+ specialised
professionals
• 67 developers
Partnerships
• Extensive network of
specialised partners
• Intelligent partnerships
Intangible resources
• R&D and continuous
innovation
• High specialisation
• User licenses
for the economy
€148.1 million turnover
€24.4 million in taxes paid
€104.5 million in purchases from
suppliers
135.1% increase in investments
for employees
€29 million in wages and benefits
6.4 hours of employee training on
average
0 work accidents
183 new hires
10.4% wage gap
99.6% full time employees
€186,000 in Health & Safety
investments
for society
€260,000 investments in social
actions
86% local suppliers
75% hires from internships
19 research programmes in 2023
€2.35 million in R&D investments
for the environment
10% reduction in electricity
consumption
51% reduction in facility oil
consumption
SPACE HELLAS S.A.
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49
Forces that shape our industry
Focusing on technological progress and changing socio-
economic needs, Space Hellas Group is committed to the
principles of sustainable development. It is always ahead of
the curve, introducing and implementing innovation, and
integrating megatrends at the core of its strategy. Through
this dynamic approach, it immediately adapts to new
challenges, strengthening its leadership position with its
continuous profitability and its know-how.
The Group's focus on critical cybersecurity, digital transition,
and next-generation communications services confirms its
dynamic response to the challenges of the modern era. This
approach enables it to develop solutions that are fully
aligned with the current and future needs of the economy
and society. Through the targeted training and growth of
employees, Space Hellas ensures that every new
technological development is part of a strategy which
focuses on sustainability and the promotion of social
welfare. This not only encourages innovation and
continuous research but also strengthens the Group’s
commitment to create solutions that meet the demands of
current challenges while contributing to a more sustainable
and just world.
A typical example of such trends is the frequency and
complexity of cyberattacks, which leads to an increased
focus on cybersecurity and its reinforcement, making it a
fundamental pillar of sustainability. Recognising the urgent
need for such services, Space Hellas Group has responded
by offering advanced data protection and security services to safeguard the integrity of
digital infrastructures and data in the private and public sectors.
Simultaneously, the need for digitalisation and the adoption of Cloud solutions, as a significant
market trend oriented towards sustainable development, found Space Hellas ready to respond
with innovative and targeted services that upgrade businesses and modernise the public
sector.
Our customers
• • Industries
• • Businesses
• • Government bodies
• • Local government
• • Specialized branches
• Rural
• Health
• Financial
• Retail trade
• Energy
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50
On the other hand, artificial intelligence (AI) has become a critical factor in the development
of technology and services, creating opportunities and risks in all digital systems. In this complex
environment, Space Hellas is taking advantage of the opportunities offered by AI, while
implementing strategies to reduce emerging risks, thus enhancing performance and flexibility
across all sectors.
Moreover, the implementation of 6G technologies is a pillar of research and development for
the Group, which integrates advanced communication and Internet of Things (IoT) technology
into the range of communication solutions it offers.
Lastly, the digital transformation of enterprises and social structures is no longer an optional
trend, but a necessity for ongoing development, ensuring effectiveness and excellence in all
systems. Through monitoring and incorporating global trends, the Group focuses its research
and development on the creation of solutions that offer added value. This process allows the
company to dynamically adapt to market changes, predict customer needs and enhance the
quality and reliability of its services and products. Thus, the Group responds effectively to the
complex and constantly changing needs of the modern business environment.
Our mission is sustainable development
At the centre of the new digital age, the Group stands out as a pioneer Digital Integrator and
Provider of Value-Added Services, playing a catalytic role in the digital transformation of
enterprises and organisations both in Greece and internationally. For over 35 years, it has been
offering innovative technological solutions and services that promote growth and
development, supporting sustainable entrepreneurship and social progress. With a deep
knowledge of telecommunications, information technology and security, and a broad range
of collaborations with leading tech firms worldwide, its mission is to strengthen every business
initiative with reliable, secure, and customised digital solutions. The Company’s commitment to
research, innovation and excellence shapes the core of its philosophy, while continuous
investment in human resources and seamless cooperation with customers are the foundations
upon which the long-term success and sustainability of the solutions it offers are built. At Space
Hellas we envisage a future where technology and innovation unite to overcome all
challenges, and it is for this reason that we are actively promoting digital transformation as an
axis of sustainable growth and prosperity.
Enhancing innovation, openness, excellence, and research helps expand our activities, while
promoting the principles of sustainable development and enhancing our resilience and
competitive advantages.
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51
The Group has adopted the Ten Principles of the UN Global Compact, and, based on its
corporate vision and values, it is making every effort to respond promptly and effectively in
sectors such as anti-corruption, human rights, ensuring excellent working conditions, and
protecting the natural environment.
At Space Hellas, we are convinced that sustainable development requires action on the three
main pillars of sustainability: environment, society, and corporate governance. We set goals for
continuous improvement and integrate sustainable development principles and good
practices to mitigate the impacts of our operations. Our strategy is twofold: to pursue continued
economic growth while enhancing practices that support the three pillars of the ESG.
We implement an Environmental Management System certified according to ISO
14001:2015, which contributes to registering and monitoring environmental indicators,
compliance with the applicable legislative framework, and taking appropriate
measures to reduce our environmental footprint.
Environment
We recognise the crucial importance of respecting human rights and creating a fair
and supportive work environment as the foundation of social well-being. We are also
committed to the responsible management of our relationships with customers,
offering added value services and helping them achieve their own sustainability goals.
Through our projects and social actions, we contribute to the reduction of social
inequalities and the promotion of social prosperity.
Society
We maintain strict corporate governance structures, incorporating the principles of
transparency, integrity and accountability into all our activities and operation levels.
By implementing policies and procedures, management systems, and good practices,
we promote the excellent conduct and professional ethics of our employees and
partners. We recognise risk and take steps to ensure business continuity.
Corporate
Governance
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Annual Report 2023
52
Sustainable Development in Action
At Space Hellas Group, we perceive value
creation as a result of comprehensive and
targeted planning. Our path to sustainable
development is based on a three-pronged
strategy: innovation, technological
excellence, and solid partnerships. Through
our performance evaluation and carbon
footprint calculation, we have set reduction
targets for our environmental impacts, stating
our intention to improve the environmental
impact of our operations.
In this context, we work systematically to
enhance dialogue with stakeholders, ensuring
an understanding of both positive and
negative impacts of our activities. We
regularly assess and prioritise the important
issues pertaining to the Group. Our materiality assessment carried out in 2021 will serve as the
basis for a new, more extensive reassessment in 2024. At the same time, our constant risk
assessment identifies potential challenges and opportunities, guiding our initiatives for
improvement actions.
The integration of Taxonomy principles into our operations and our presence on the ESG index
of the Athens Stock Exchange are tangible proof of our commitment to transparency and
sustainability. Our strategy, based on a broader framework encompassing the mentioned
processes and underscoring the need for an approach that combines sustainability and
performance, seeks to create substantial value for all stakeholders.
We positively impact all our stakeholders
Space Hellas Group is committed to creating a positive impact for all stakeholder groups.
Through institutionalised channels of communication, we ensure a meaningful dialogue with
our employees, customers, and partners, realising the importance of their contribution in
shaping the sustainable trajectory of the Group and recognising the value of mutual trust and
transparency.
• Sustainability Policy
• Risk Assessments twice a year
• Materiality Assessment
• Taxonomy Report
• ESG Report
• ESG Targets
• Participation in the ATHEX ESG index
• Management systems
• Responsible supply chain
• Stakeholder Engagement
• Policies and procedures
• Alignment with the 2030 SDGs
ESG governance
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53
Constantly highlighting the impacts we have on each stakeholder group and adjusting our
practices based on them, enhances our level of contribution to social well-being,
environmental protection, and economic growth.
Channels of Communication with Interested Parties
Stakeholders
Channels of communication
Material issues
Shareholders
• General Meetings
• Periodic meetings, presentations
• Annual Financial Report
• Sustainability Report
• Shareholder communication department
• Value maximisation (Capital gains and
dividends)
• Integrity, Transparency, and ethical business
(respect for the legal and regulatory
framework)
• Effective risk management
• Business continuity
Frequency of communication: Systematically and whenever necessary
Stakeholder group
How we respond
Shareholders
We focus on the Group’s continuous growth and profitability. Space Hellas has
been listed on the Athens Stock Exchange since 29-09-2000.
Employees
We ensure a safe work environment that supports professional and personal
growth, with respect for human rights. All employees are paid above the minimum
wage and the Group has signed the diversity charter.
Customers
We contribute to sustainable customer development through the projects we
undertake, providing solutions that offer them competitive advantages and
innovative business models, and act as catalysts for economic growth and
professional excellence in the private and public sector. The dynamic
collaboration with public bodies & agencies has defined the Group as a
pioneering strategic partner in the digital evolution of the public sector and
unquestionably contributes to the achievement of smart, sustainable, and
effective resource management on a national level.
Partners – Suppliers
We maintain stable relationships with our suppliers and prioritise local
procurement. We develop strategic partnerships with leading tech firms.
Local Community
The public sector projects we undertake create a positive impact on society,
improving transparency, rational management of natural resources, and the
creation of safe cities. Furthermore, we support vulnerable groups through CSR
initiatives.
State and Regulatory
Authorities
We adopt a stable and transparent system of governance, contributing to
economic development through our contributions and activities.
Academic Community
We participate in research programmes and collaborate with universities, offering
opportunities to students and young professionals to start their professional career
at Space Hellas, we participate in industry PhDs offering scholarships.
SPACE HELLAS S.A.
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54
Stakeholders
Channels of communication
Material issues
Employees
• Internal communications
• Open-door policy
• Corporate Events
• Sustainability Report
• Corporate website
• Social Media
• Whistleblowing mechanism
• Voluntary CSR actions
• Intranet
• Newsletter
• Growth, development, and training
• Health and Safety at work
• Equal opportunities and respect for diversity
• Pay and other benefits
• Respect for human rights
• Work-life balance
Frequency of communication: Daily
Customers
• Electronic communication
• Telephone communication
• Help desk
• Interpersonal meetings
• Corporate website
• Social Media/website
• Sustainability Report
• Spacetalk magazine
• Εvents
• Provision of advanced technology services
and tailored solutions
• Creating value through tech solutions
• Specialised teams of experienced
professionals for customer service
• Data and IT security
• Competitive prices
• Tech support
• Innovation and cutting-edge technologies
• Digital transformation
• Consulting
• Corporate Social Responsibility
Frequency of communication: Daily and as applicable
Partners – Suppliers
• In-person meetings
• Telephone communication
• Electronic communication
• Corporate website
• Sustainability Report
• Organisation of seminars
• Digital transformation
• Networking, know-how
• Integrity and ethical business
• Data and information security
• Optimal working conditions
• Business continuity
• Effective risk management
Frequency of communication: Daily and as applicable
Local Community
• Telephone communication
• Corporate website
• Social Media
• Sustainability Report
• Corporate Social Responsibility
• Respect for human rights
• Social actions
Frequency of communication: Periodically
State and Regulatory
Authorities
• Telephone communication
• Electronic communication
• Meetings with representatives
• Digital platform (Gov) with Public Services,
Tax Offices, Hellenic Capital Market
Commission, Athens Stock Exchange, etc.
• Tendering procedures
• Sustainability Report
• Compliance with policies and regulations
• Integrity and ethical business
• Data and information security
• Smart and safe cities
• Digital transformation
Frequency of communication: As applicable
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Annual Report 2023
55
Stakeholders
Channels of communication
Material issues
Academic
Community
• Telephone communication
• Electronic communication
• Meetings with representatives
• Corporate Website
• Social Media
• Tendering procedures
• Sustainability Report
• Spacetalk magazine
• R&D projects
• Organisation of seminars
• Scholarships
• Student internships
• Research and development of digital
education projects
• Smart and safe cities
• Digital transformation
• High quality of service
• High level of expertise
• Innovation and cutting-edge technologies
• Added value solutions
• Employment
Materiality Analysis
In 2023, the Group re-evaluated its material issues in order to identify possible changes that
directly or indirectly, positively or negatively impact the environment, society, and, therefore, its
operational activity. The process followed to identify material issues was based on Global
Reporting Initiative (GRI Standards), taking into account the Sustainability Accounting Standard
Board (SASB) industry standard, and it includes the following steps:
Step 1
Identifying and
understanding material
issues. A sector survey and
analysis was conducted and
the SASB standard industry
guidelines were
incorporated in conjunction
with the Groups’s strategic
priorities.
Step 2
Assessing and prioritising
these issues through
documentation for the
collective evaluation of all
sustainable development
issues based on specific ESG
criteria.
Step 3
Validation and evaluation of
issues by senior
management. Validation of
topics and assessment of
relevant targets to align
them with the Group’s
strategies.
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56
ESG RISK MANAGEMENT
The Space Hellas Group Risk Control Self-Assessment (RCSA) is gradually incorporating ESG
criteria, recognising that sustainability is a central element of our business responsibility and
effectiveness. In our broader analysis, we identify and address both key risks and control
mechanisms applied to mitigate them, as well as ESG risks, such as Health and Safety risks and
risks arising from geopolitical instability. Furthermore, we assess potential issues that may arise
from our policies and procedures, human resources, communication, and interaction with
stakeholders, and risks from natural disasters or climate change.
The Risk Control Self-Assessment procedure catalyses the Group’s material adjustment to
emerging ESG issues, ensuring our compliance with existing and future requirements, and
having a significant impact on our strategic development. By capturing and assessing ESG risks
Space Hellas Table of Material Issues
Very high priority
1
Cybersecurity
2
Health, safety, and well-being of employees
3
Data and information security
4
Responsible technology and innovation
5
Employee recruitment, retention, and development
High priority
6
Business Continuity
7
Energy management and saving
8
Combating bribery and corruption
9
Business ethics
10
Effective risk management
11
Legal Compliance
Medium priority
12
Diversity and equal opportunities
13
Customers’ digital transformation
14
Climate change and greenhouse gas emissions
15
Smart and safe cities
16
Waste management
17
Water consumption
18
Social actions
Environment
Governance
Society
SPACE HELLAS S.A.
Annual Report 2023
57
and their mitigation procedures, we enhance transparency and accountability in the
management of the Group’s material issues, ensuring broad understanding by and involvement
of all stakeholders. The self-assessment procedure is carried out twice a year, confirming the
Group’s commitment to integrate sustainability into its core business strategies and responding
to dynamic changes in the business landscape. In addition, the RCSA procedure is directly
linked to the achievement of the Group’s ESG objectives, highlighting the importance of active
engagement and two-way communication in all of the Group’s activities.
THE GROUP'S ESG TARGETS
At the heart of our efforts is our commitment to achieve our economic, environmental, and
social goals. These goals define our actions and the direction of the Group’s development,
reflecting our vision for sustainable and responsible entrepreneurship, in line with the principles
of social well-being and environmental responsibility. We emphasise the recording and
monitoring of targets with specific performance indicators (KPIs) that enhance transparency
and allow us to objectively assess our performance.
The targets set in 2022 by the parent company of the Space Hellas Group were met, with the
exception of one on-going target, and three targets that have been revised and incorporated
in the table of the Group’s ESG targets below.
Target Description
Year
Environment
Reduction of electricity consumption by 3%
2027
Reduction of car fuel consumption by 5%
2027
Reduction of natural gas consumption by 3%
2027
Reduction of water consumption by 5%
2027
Implementation of an ISO 50001 certified Energy Management System
2027
Evaluation and implementation of energy-efficiency measures, such as: Building
Management Systems (BMS) in buildings, limitation on the operating hours of air
conditioners, and the potential installation of photovoltaic panels on the roof of one of our
buildings.
2026
Society
Zero serious work accidents
2030
Performance Evaluation System upgrade
2026
Institutionalisation of the Group’s open-door policy
2026
Incorporation of the ‘‘Meet with the CEO’’ initiative at a Group level
2025
Increase the percentage of women in management positions by an average of 3% per year
2026
Analysis of the gender pay gap and its gradual elimination
2030
100% of employees to participate in D&I related training programmes
2026
Increase in hours of instruction and training for all employees by an average of 5%
2025
Creation of training programmes for the development of digital and cybersecurity skills for
employees without corresponding technological expertise (2 programmes per year) for
100% of employees
2026
Initiatives to enhance collaboration in critical role teams by creating a special training
programme
2025
Internal mobility policy development
2025
Employee training and growth initiatives for upgrading to new positions or for internal
mobility
2026
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58
OUR STRATEGIC PRIORITIES
At the heart of the strategy of Space Hellas Group and its subsidiaries is the continuous search
for and consolidation of innovations that enhance quality and performance in the digital
landscape.
From strengthening human resources through the continuous development of talented
employees and the upgrading of technical infrastructure, to the creation of new products that
adhere to strict quality protocols and the development of partnerships that transcend
contractual limits, the Group demonstrates a continuous commitment to innovation.
Strategic goals such as maintaining the Group’s leading
position in the digital transition market, creating certified
and secure solutions and services that offer significant
added value, and boosting profitability through new
revenues, signal its determination to expand into new
markets and sectors.
The Group’s long-term goal is to collaborate with the public sector, which is not limited to
providing technical solutions, but extends to comprehending and fully aligning with the sector’s
goals and challenges, guaranteeing a holistic approach that leads to sustainable results and
positive social impact.
Additionally, the Group ensures the protection of digital systems
through a stable investment plan in R&D and know-how,
strengthened by the inclusion of new, dynamic companies in the
Group, leading to high-level partnerships and enhancing the
company’s outward-looking dynamic.
INNOVATION AND BUSINESS DEVELOPMENT
The pursuit of innovation and investments in research and development play a crucial role in
Space Hellas’ business development. Through these actions, we are both improving existing
solutions and creating new opportunities, forging new paths for business expansion and growth.
Corporate Governance
Incorporation of criteria relating to Human Rights into all contracts with major suppliers
2025
Sustainable Development Strategy development
2024
Implementation of pilot evaluation programme for 50 major suppliers according to ESG
criteria
2025
Incorporation of risks relating to Human Rights into RCSA
2025
Inclusion of additional ESG risks in RCSA
2025
Group’s organisational
changes in 2023
• New Management
structure
• Infrastructure and
cybersecurity upgrades
• Digital transformation (ERP,
CRM, BI Tools)
,
Group Growth Drivers
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THE GROUP'S GROWTH- CATALYST INVESTMENTS
Remaining committed to sustainable growth and business innovation, the Space Hellas Group
is implementing targeted investments that strive to strengthen research and development,
contributing to the creation and utilisation of innovative technologies and solutions. Upgrading
our infrastructure ensures market superiority and secures the provision of resilient and reliable
services.
Driven by innovation, the Group constantly promotes collaborative development with
customers and partners, strengthening corporate relations and supporting a dynamic business
culture. Strategic investments in sectors such as specialised training, advanced tools, and
innovative technologies, as well as acquisition of enterprises that complement and expand our
portfolio, contribute to Space Hellas' establishment as a leading force in digital solutions.
Through these investments, the Group aims at sustainable growth and maintaining its
competitiveness in the era of digital transition.
THE GROUP’S GROWTH RATE OVER THE PAST DECADE
The dynamic revenue growth trend of the Group from 2014 to 2023 reflects the
successful implementation of sustainable investment strategies that have enhanced
long-term value for our shareholders and created a positive impact on society and the
environment.
DELIVERING INNOVATION
A key element of the Space Hellas Group's culture and priorities is its continuous innovation,
which extends beyond technology into all of its operations. The constant search for new
opportunities for growth and value creation is carried out through both the development of top
technological solutions, and for our holistic approach that involves the creation of innovative
partnership models, as well as the development of new opportunities through open dialogue
and interaction with its stakeholders.
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At the heart of the Space Hellas Group’s innovation is the strengthening of its partnership with
the public sector – the sector in which the impact of and need for digital upgrading is greatest.
The deepening of this partnership reflects the Group’s determination to actively contribute to
the digital transformation of public services, by offering technologies and solutions that
enhance transparency, effectiveness, and quality.
The integration of innovation as a basic principle of excellence starts with senior management
and is diffused to all levels of the Group, promoting an environment where continuous
improvement, leadership, and openness are seen as key factors for sustainable growth. The
Space Hellas Group implements these principles to achieve business goals, as well as to provide
substantial value to society and enhance its sustainability and business continuity.
RESEARCH AND DEVELOPMENT
Recognising the importance of R&D in scientific
and technological progress, Space Hellas Group
and its subsidiaries systematically invest in research
programmes that reflect our commitment to
innovation and excellence. The Group aims to
develop innovative solutions that have direct
commercial application and create long-term
value, actively participating in the development of
products and services with high technological
added value.
The strengthening of Research and Development activities is achieved through participation in
national and international research projects, while partnerships with universities, research
institutes and enterprises expand the network of partners and strengthens the Group’s leading
position in Research and Development. The Group’s R&D Department, with its advanced know-
how and experience, plays a central role in the implementation of these projects, serving as a
pillar of new technological applications development.
The research conducted by the Group and its subsidiaries focuses on carrying out advanced
technological research and developing innovative products, which provide technological
solutions that go beyond conventional research results. The goal is to create products and
solutions that meet current market needs, while also promoting technological progress in
various sectors, thus helping improve the socio-economic status of the communities they affect.
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The R&D activities of the Group focus in particular on the following technology areas:
• Open-source Intelligence (OSINT)
• Cybersecurity
• Future networks, 5G and satellite communications
• Cloud technologies and applications
• Monitoring and Analytics
• Sensor Networks and IoT
• Intelligent Surveillance and Border Security
• Smart, Safe and Secure Cities
• Location-based and context-aware applications
• Software Integration
• Interoperability
• Applied Artificial Intelligence (AI)
• Energy efficiency
• Connected Buildings
The research programmes that started in 2023, in which the Group participated, are:
Research programmes
• SEPTON - Cybersecurity for medical devices
• Ainception - AI for Cyberdefence
• PRIVATEER - 6G security
• Space 4.0 - Environmental monitoring
• OASEES - Distributed intelligence for IoT
• PISTIS - Data sharing, federation and trading
• NEMO - Next-generation edge computing
• 5G COMPAD - Miltary 5G
• CO-PROTECT - Disaster resilience
• ACTING - Cyberdefence training and exercises
• 6G-BRICKS - 6G experimenta-tion platform
• HellasQCI - -Quantum Key Distribution (QKD)
• TENACITY - OSINT for border control
• ENTRUST - Networked medical devices security
Research programmes
• INHERIT - Next Generation Solutions for Sustainable, Inclusive, Resource-efficient and Resilient
Cultural Heritage
• EMPOWER - AI Powered Investigative tools for LEAs
• AGRIDATAVALUE – Smart Farm
• BUILDSPACE – Energy Efficiency Buildings
• ENTRUST - Agri-Data Management
QUALITY AT THE HEART OF OUR STRATEGY
The Group offers innovative and advanced technology solutions that successfully meet its
customers’ expectations, enhancing trust and reliability. This is confirmed by the number of
certifications and credentials, as well as through the certified internal management systems
regarding Data Quality and Security according to ISO 9001 and ISO 27001 (at a Group level),
respectively, as well as through the use of digital tools and a wide range of platforms, such as
Cisco and Oracle.
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In this context, the Group has adopted and is following a Quality
Policy that is reviewed annually to ensure the consistency and
evolution of our practices. This Policy guarantees the promotion of
excellence practices in service provision and sets the framework
for the Group’s great expectations regarding the final products
and services it offers. This strategic approach reinforces its
commitment to achieving the superior quality desired by the
Group's customers, and, among other things, it rests on the
following pillars:
• Customer-centric approach
• Responsible selection of suppliers and partners to ensure quality materials/services
• Enhancing the value of Quality through relevant employee training
• Constant evaluation and improvement of existing methods and practices to ensure they
are aligned with international best practices.
Furthermore, the Group and its subsidiaries have certifications for the following management
systems and contribute to the enhancement of quality culture:
ISO 27001:2013 certification (at Group level)
Certification for the Information Security Management System the Group
designed and has maintained since 2009.
ISO 20000-1:2018 certification (at a Group level)
Certification for the IT Service Management System
ISO 14001:2015 certification (at Group level)
Certification for the Environmental Management System relating to the
Group’s operations.
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ISO 45001:2018 certification (Parent)
Certification for the Occupational Health & Safety Management System
ISO 27701:2019:2018 certification (Parent)
Certification for the Privacy Information Management System, ensuring that all
the necessary organisational and technical measures are taken to protect
personal data.
ISO 22301-2019:2018 certification (Parent)
Space Hellas, the Parent Company, is certified for its Business Continuity
Management System.
THE GROUP’S CUSTOMER-DRIVEN CULTURE
The Space Hellas Group recognises the
unique needs and challenges of each
customer. By undertaking projects with
industries, health companies, the agricultural
sector, banking services, and many other
sectors, it gains insight into the complexity
and dynamics of each market. At the same
time, it collaborates closely with public and
private bodies, contributing substantially to
their digital transition.
Our services are designed to enable our customers to successfully meet the increasing
demands of digital business. We offer solutions that lead to the optimisation of operations,
enhancing efficient decision making, and achieving business goals.
Through our projects, we create business models that offer competitive advantages, putting
our customers in a leading position through technological superiority. The combination of R&D
and innovation implementation allows us to offer solutions that are both innovative and
sustainable, in response to the constantly evolving needs of the market.
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Grounded in a philosophy that stresses continuous improvement and excellence, we recognise
the importance of always being ahead of the curve. With that in mind, we commit to providing
reliable, innovative, and flexible digital solutions which enhance the capabilities and efficiency
of any company that trusts us and is seeking solutions to business challenges.
Through these public sector projects, we promote social well-being and strengthen social
cohesion, providing modern services that meet citizens’ expectations and contribute to the
growth of the economy. These projects highlight Space Hellas’ role as a pioneer of digital
transformation in Greece.
BY MEASURING QUALITY, WE BUILD RELATIONSHIPS
The Group’s strategy focuses on seamless and high-quality customer service. The core of our
strategy for achieving full customer satisfaction unfolds across three main axes:
Key Performance Indicators (ΚΡΙ):
We monitor the quality of our services through specific
indicators, which are analysed in the Service Level
Agreements. Measurable figures, such as speed of service and
number of successfully served requests, ensure our continued
improvement in offering solutions that maximise our customers’
experience.
Continuous Research and Assessment:
The regular implementation of annual satisfaction surveys
allows customers to express their needs and state their
assessment of the services provided. The comments and
proposals collected are a key tool for reviewing and
enhancing the Group’s effectiveness.
Effective Communication and Complaint Management:
We have a multi-level customer communication system supported by an integrated complaint
management mechanism. This procedure guarantees the effective interoperability of the
system and the continuous improvement of its performance under the guidance of the
competent departments.
This framework ensures that Space Hellas meets and exceeds its customers’ expectations,
aiming to continuously upgrade their experience.
32.000
help desk calls
72.000
on-site visits
4,4/ 5
customer satisfaction index
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STANDING BY OUR CUSTOMERS, 24/7/365
At the Group, we use cutting-edge technologies to guarantee an excellent and holistic
experience for each customer. The specially designed management and monitoring system
ensures that support is available to our customers 24/7, providing consistency and security in
communication. The integration of new analysis tools and techniques helps keep our Group at
the centre of innovation in customer service, promoting continuous improvement of processes
and creating added value. Our experienced and specialised technical personnel ensure
impeccable management of every problem, as they have the necessary knowledge to
effectively deal with even the most complex issues.
Some of the services provided at the Group’s help desk are:
CRITICAL NATIONAL INFRASTRUCTURE THAT WE SUPPORT
In a world where major changes and challenges make innovation and technology critical
factors for Greece, the Space Hellas Group has undertaken an important role, focusing on
monitoring and adapting to them in order to provide solutions that truly make a difference and
enhance national sustainable development. Space Hellas is a driver for achieving our long-
standing national goals of digitalising services. In this context, the Group capitalises on its
experience and know-how, highlighting the importance of interaction with the public sector as
a catalyst for realising its strategic goals and for creating a more connected and just society.
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RESPONSIBLE SUPPLY CHAIN AND STRATEGIC PARTNERSHIPS
At the core of our business philosophy is our commitment to corporate responsibility and high
quality at every stage of our supply chain. We acknowledge that achieving these goals requires
sustained effort and commitment, as well as a selection process that guarantees our partners
share our values.
We apply strict selection and evaluation criteria to our
suppliers based on objective, measurable, and qualitative
data. This process ensures compliance with our high
standards and complete transparency in our business
relations.
Our strategy focuses on strengthening partnerships with major international companies that are
leaders in our sector and on maintaining and strengthening relations with local suppliers. This
approach aims to support and strengthen the local economy while ensuring the
competitiveness and high quality of our products and services. Through this approach, the
Group is demonstrating its commitment to supporting and developing the local ecosystem,
enhancing economic resilience and social cohesion.
In this context, we set goals and aim to strengthen our business excellence, promote
sustainability, and demonstrate our accountability towards the environment and society. Our
commitment to these goals reflects our dedication to creating a more sustainable and just
business reality.
86%
14%
Supplier distribution by origin
Προμηθευτές εσωτερικού Προμηθευτές εξωτερικού
Domestic suppliers
Foreign suppliers
€104,5 million
purchases from
suppliers
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SUBCONTRACTORS
We offer a variety of innovative solutions to meet our customers’ technological needs. Some of
these solutions require the participation of subcontractors for their implementation for various
reasons, such as geographical location or the need for specialised permits. The Group secures
the commitment of its subcontractors through contracts that require compliance with
environmental legislation and health and safety standards.
USER LICENSES
The Group has entered into agreements with digital data entry and processing systems
providers, which are necessary for its effective operation and are part of projects implemented
on behalf of its customers.
INTELLIGENT PARTNERSHIPS
In our effort to provide leading tech solutions and services,
we collaborate with global industry leaders. These
partnerships ensure that we remain at the very top of the
innovation and technology frontier, offering unsurpassed
value and performance to our customers.
of our purchases is carried out by leading global organisations, exemplary
companies in our industry, such as Cisco, Dell Technologies, Microsoft, and SAP,
which are models for our industry and are distinguished for their advanced
sustainability strategies and high environmental performance. Furthermore, these
companies adhere to strict protocols and procedures, carefully selecting their
partnerships, which also strengthens our position as part of a global value chain
that emphasises sustainability and corporate responsibility.
30%
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RECOGNITION OF OUR PROJECT
In the world of technology and digital solutions, recognition of excellence through awards is an
important indication of a company’s commitment and performance. Every award Space
Hellas and its major subsidiaries have received is a case study for excellence. Many of the 2023
awards are for major projects, in collaboration with major organisations, partners, and
customers. More specifically:
Space Hellas, in partnership with EuroHub Pharma Logistics and
Cisco, won 2 awards in two categories at the Cybersecurity Awards
2024. The Silver Award in the Logistics category and the Bronze
Award in the Infrastructure & Network Security category, for the
‘‘New Brand Name with Advanced Cybersecurity’’ project. An
important and comprehensive EuroHub Pharma Logistics
cybersecurity project that shields the organisation with the use of
multiple security measures, increases supply chain security and ensures the seamless and safe
operation of the company.
Space Hellas is Hewlett Packard Enterprise’s ‘‘Hybrid Cloud
Growth Partner 2023’’.
The award is an acknowledgement of the company’s
successful trajectory as a Digital Integrator and the
achievement of its goals.
Space Hellas, in collaboration with NOVA, received a Gold
Award at the BITE Awards 2023 in the Public Sector Organisations
category, for the implementation of the Ministry of Justice
project ‘‘Video conference services in courts and penitentiaries,
and provision of information services on the progress of the register and exhibits of the courts’’.
Space Hellas in partnership with Radiant Technologies received
a Silver Award at the BITE Awards 2023, in the Tourism/Culture
category, for the project of the Museum of Byzantine Culture of
Thessaloniki, ‘‘Digital Museum of Byzantine Culture’’.
Space Hellas received a Silver Award at the BITE Awards
2023 in the Networks & Communications category, for its
partnership with ADMIE and Grid Telecom on the
‘‘DWDM Telecommunications Network Technology’’ project.
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Space Hellas is Cisco’s first partner in Greece to acquire the right to
provide ‘‘Partner Lifecycle Services – Support’’ (PLS-Support). By
providing PLS-Support services, Space Hellas will be able to offer the
same high level of support, such as Cisco Solution Support, extending the
range of its services to multi-vendor solutions and strengthening its
customer relations.
Space Hellas was certified as a ‘‘Legrand Data Center Solutions
Accredited Partner’’ following the successful completion of
Legrand’s Data Center Academy training course and the
specifications required. Legrand Data Center Solution offers
specialised solutions through all the stages of designing and
building a Data Center.
Space Hellas received the ‘‘ICT Jubilee Award’’ at the Greek ICT Forum, for its
years-long contribution to the Greek IT market. A distinction that confirms the
company’s contribution to the technology sector, classifying it as a leading
Digital Integrator.
Space Hellas, 3rd Prize in the Business Innovation category at the 2023
HRIMA Business Awards.
Space Hellas, Merit Winner in the ‘‘Sustainable Growth/Circular Economy
Award, Private Sector/NGO’’ category at WITSA 2023, for the ‘‘Installation
of Meteorological Stations & Development of Web Portal Infrastructure of
the National Meteorological Service’’ project.
Space Hellas is Huawei’s ‘‘Greece Optical Partner of the Year 2023’’.
Space Hellas is ‘‘Southeast European Outstanding Partner 2023’’.
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Platinum, Gold, and Silver awards for SingularLogic at the BITE
Awards 2023, in a joint nomination with its customers.
SingularLogic and The Smile of the Child received a Gold Award at the BITE
Awards 2023 in the ‘‘New Innovative Digital Service’’ category, for the
development and implementation of the European Missing Alert
Automated System (EMAAS), a missing persons’ materials production and
dissemination system for Amber Alert Hellas and Missing Alert Hellas. At the
same time, the project received the top score from the evaluation committee, out of all the
projects submitted, also winning the Platinum Award for 2023.
SingularLogic and HELLENiQ ENERGY Holdings received a Silver Award at the BITE Awards 2023
in the ‘‘Continuous Business Improvement’’ category, for the design and implementation of the
Greece-wide KALYPSO IT Security project, for the safe operation of the network of KALYPSO iQ
ENERGY service stations, under the EKO and BP brands of the HELLENiQ ENERGY Group.
In recognition of SingularLogic’s experience and expertise in
providing quality print management services to large
organisations and businesses, Hewlett-Packard Hellas awarded it
the ‘‘Managed Print Services Partner, Greece 2022’’ award. The
award ceremony took place in the context of the ‘‘HP Annual
Partner Event - Ahead of the Game’’.
SenseOne won the EnergySense energy efficiency solution award at the Mobile &
Connected Awards, during the 13
th
Mobile & Connected World Conference, in
recognition of its efforts to utilise technology in an innovative way.
SenseOne won another important award for the EnergySense solution. We
received the Silver Award in the Energy Monitoring Technologies category at the
Energy Mastering Awards 2023.
SenseOne, during the IoT Awards 2023, received the Silver Award in the
Sustainability/Decarbonization category for the EnergySense solution, which allows for energy
efficiency optimisation and reduction in energy costs and carbon footprint.
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ENVIRONMENT
OUR APPROACH TO ENVIRONMENTAL PROTECTION
The Group implements an Environmental Management
System that is certified with the ISO 14001:2015 international
standard for the Space Hellas and SingularLogic Companies.
This System includes all procedures governing the
environmental aspects of these Companies’ activities, with
the aim of mitigating the environmental impact of their
activities. It also assesses and analyses risks and seeks to take
suitable corrective actions aimed at continuous
improvement.
To that end, the Group records and monitors specific environmental performance indicators in
order to promptly identify issues in a targeted manner in sectors that require improvement, and
to timely and effectively address any issues that arise.
Responsibility for the design, implementation, and monitoring of the System lies with the
‘‘Governance, Risk & Compliance Services’’ Department of each Company.
“At Space Hellas, we act responsibly towards the environment; we implement internationally
recognised standards and best practices as we strive to reduce our environmental footprint”.
ENVIRONMENTAL POLICY
The Group has an Environmental Policy, that is part of the integrated Quality, Health & Safety,
and Environment Policy, which is reviewed on an annual basis. The Environmental Policy is the
basis of the Environmental Management System and pertains to commitments for the mitigation
of the environmental impact of its activity. More specifically, the Group among other, is
committed to:
• Identify environmental aspects and impacts, conduct risk assessments, and take risk
mitigation measures for the company’s activities.
• Recycle waste such as paper, plastic, metals, electrical and electronic devices, and
batteries when feasible.
• Implement energy management and equipment improvement measures to reduce
energy consumption in buildings and transport, such as the use of electricity, and the
consumption of liquid and gas fuels.
• Reduce the consumption of water, paper, and other natural resources.
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• Prevent environmental pollution during daily activities, avoiding toxic substances, and
minimising the use of environmentally harmful substances, such as chemical cleaning
agents, waste, etc.
• Prevent potential environmental accidents such as fire, leakage, etc., through proper
maintenance of equipment and continuous training and awareness-raising of
employees.
• Maintain a mechanism for dealing with environmental incidents, fire, leakages, and
other emergencies.
• Raise awareness among employees, customers, and partners regarding the importance
of environmental management and the risks of climate change.
•
CARE FOR THE ENVIRONMENT
Employee environmental awareness is a matter of material importance for the successful
implementation of environmental protection measures. The Group conducts environmental
trainings in order to support its personnel’s contribution to its efforts to reduce its environmental
footprint.
In 2023, two environmental training sessions were carried out to raise awareness and inform
employees about the environmental impacts of their activity and their participation in the
Environmental Management System. The topics covered in the training sessions related to:
• Ways to reduce electricity and fuel consumption
• Good recycling practices
The training is carried out through presentations made once or twice a year, as well as through
newsletters sent at regular intervals.
Furthermore, the Group also trains new employees on environmental issues, through
educational material posted on the new recruit’s training platform, which includes documents
related to the Environmental Management System. In addition, the material is also posted on
the Group’s internal network, which is accessible to all employees, who are notified
electronically by the HR Department when the material is posted.
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ENVIRONMENTAL RISKS AND OPPORTUNITIES
Through the Environmental Management System, the
Group seeks to record, monitor and assess environmental
issues that concern it, the risks and measures to address
them, as well as the opportunities and actions for their
exploitation. The Group’s goal is to follow international
practices and be suitably prepared to directly address
the risks arising from the external environment and to
recognise how it impacts and is impacted.
To identify the risks and opportunities being created, Space Hellas implements the SWOT
Analysis strategic planning tool.
Besides environmental issues, the SWOT analysis is applied to each ISO-certified thematic.
CLIMATE CHANGE
Climate change is one of the most important issues the world is facing today, and this is why the
Group has proceeded with recognising the risks and opportunities that have arisen from climate
change and relate to its operations.
CLIMATE CHANGE RISKS AND OPPORTUNITIES
The Group has analysed the impacts of climate change risks, which have resulted from the
increase of extreme weather events.
• Increased energy consumption in the winter months due to increased cold (buildings and
cars).
• Increased energy consumption during the summer months due to heat waves (buildings
and cars).
• Personnel health, safety, and accident risks.
• Increased equipment damage due to exposure and operation under extreme
conditions.
• Reduction of turnover from delays and/ or increased delivery time from suppliers due to
damage to production plants/ of raw materials because of extreme weather
phenomena.
• Reduction in employee productivity due to extreme events such as heat waves, snowfall
closures, excessive rainfall, floods.
• Delays in equipment deliveries to customers and delays in project completion due to
extreme and adverse weather conditions.
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• Delays in employee travel due to traffic chaos in adverse weather conditions. Reduced
productivity at external technical interventions.
Despite the impacts caused by climate change, the Group has also recognised some
opportunities that may arise as a result of it:
• Increased customer demand for/ sales of digital transformation and remote working
solutions.
• Increased technical works/ provision of technical support/ recovery services during
periods of adverse conditions/ malfunctions.
• Opportunities for training and raising awareness among personnel on climate change
and environmental respect issues.
ENERGY MANAGEMENT
The Group continuously takes measures to reduce the energy consumption that results from its
activity, based on international practices and systems, while it monitors and records
consumption in order to identify and take corrective energy savings measures. In this context,
the Group implemented additional actions aimed at reducing its environmental footprint.
ENERGY CONSUMPTION
The Group's total energy consumption (electricity and thermal energy) for 2023 was 4.692,5
MWh, increased by 1% compared to 2022 (4.664,4 MWh).
In order to consistently monitor energy consumption
and standardize performance indicators based on
external parameters, the Group has created a platform
using the “SenseOne” software that unifies all the
energy management systems of its facilities and allows
timely remote intervention, when this is deemed
necessary.
The Group replaced the older storage systems
(servers) with new systems and clouds, which
require less energy for their operation and cooling
of the premises.
The Group's services require office and storage space, for
which an energy audit is carried out, from which
improvement proposals emerge. In the context of these
proposals, the Group proceeded with the replacement
of the old ventilation and air conditioning systems, the
heating burner with a heat pump, as well as the
replacement of conventional lamps with LED lamps with
the aim of saving energy.
Having recognized the need to reduce its
environmental footprint resulting from the fleet of
vehicles and having installed chargers in its facilities,
the Group proceeded to replace part of the fleet with
hybrid or electric cars.
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Electricity
Electricity accounts for 48% of the total energy consumed at the Group, and in 2023 saw a 10%
decrease from the previous year, from 2.501,64 MWh in 2022 to 2.238,84 MWh in 2023.
Thermal energy
The Group’s total thermal energy consumption in 2023 amounted to 2.453,61 MWh, posting an
increase of 13% in comparison to the previous year (2.162,78 MWh in 2022). The thermal energy
consumed by the Group concerns fuel for vehicles of the corporate fleet and the use of natural
gas and oil for the heating needs of facilities, where the consumption decreased by 51% from
2022.
Transport
Moreover, the Group monitors and supervises fuel consumption of company vehicles and aims
at gradually replacing the company’s fleet with new hybrid or electric cars in order to reduce
fuel consumption and its environmental footprint.
In 2023, the total quantity of diesel and petrol consumed for transport increased by 23% from
193.229,69 Lt in 2022 to 238.191,21 Lt in 2023. The increase in fuel consumption is due to the
increase of the car fleet by 18% compared to the previous year.
2.501,64
2.238,84
2022 2023
Electricity consumption (MWh)
21.791,40
10.673,02
2022 2023
On-site Oil consumption (Lt)
179.363,13
13.866,56
196.984,86
41.206,35
Πετρέλαιο Βενζίνη
Fuel consumption in the corporate fleet (Lt)
2022 2023
Diesel
Petrol
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Emissions
1
The Group recognises the need for immediate action to reduce carbon emissions and therefore
it systematically monitors the emissions resulting from its operation.
The emissions calculation methodology follows the ISO 14064 and GHG Protocol standards for
calculating the total quantity of Greenhouse Gases released into the atmosphere, including
carbon dioxide (CO2), methane (CH4) and nitrogen oxide (N2O), expressed as CO2 equivalent
(CO2e).
Direct Emissions (Scope 1): Direct emissions, in tonnes of carbon dioxide equivalent, resulting
from stationary combustion (diesel and natural gas), mobile combustion (diesel and petrol), as
well as refrigerant leaks from air-conditioning units and other similar equipment.
Indirect Emissions (Scope 2): The emissions that result from the production of the consumed
electricity.
The total greenhouse gas emissions released into the atmosphere in 2023 from the Group’s
operation were 1.850,91 tnCO2e, representing a reduction of 3% compared to the previous
year (1.912,19 tnCO2e).
Water consumption
The Group monitors and records water consumption at its facilities in order to take suitable
measures for its sound management.
1
The emission calculation has been carried out according to the methodology defined in the ISO 14064 standard,
which is recommended by the Climate Law 4936/2022.
4837,0
5018,8
2022 2023
Water consumption (m³)
1.336,1
1.195,8
2022 2023
Indirect Emissions Scope 2
(tn CO₂ e)
576,1
655,2
2022 2023
Direct Emissions Scope 1
(tn CO₂ e)
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Waste management
The Group places special emphasis on sound waste management, encouraging and raising
awareness among its employees through training programmes and updates on sound waste
separation and waste collection points. For the recycling of daily waste, the blue bins outside
the buildings are used. In addition, separate recycling bins for plastic, paper, batteries, and
electronic equipment have been placed on almost all floors and in almost all storage areas.
The total waste collected specifically for recycling in 2023 was 1.903 Kg, of which 1.350 Kg are
classified as non-hazardous and 555 Kg are classified as hazardous waste. All waste is handed
over for transport and processing to licensed entities.
SOCIETY
OUR PEOPLE THE GROUP’S MOST IMPORTANT CAPITAL
At the Space Hellas Group, we seek to create an open and inclusive work environment that
defends internationally enshrined human and labour rights and promotes equality without any
discrimination based on personal characteristics.
With the aim of enhancing transparency and integrity and in full compliance with the
applicable legislative framework, the Group has adopted and implements policies and
procedures demonstrating its commitment to creating a culture that promotes the principles of
diversity, inclusion, and accountability.
CODE OF ETHICS AND PROFESSIONAL CONDUCT
The Group has adopted a Code of Ethics and Professional Conduct, which applies to all
employees, regardless of rank, as well as its partners, and focuses on the following issues:
• Fair treatment of all individuals and avoidance of any discrimination
• Rejection of all forms of bribery and combating corruption
23.938
1.905
2022 2023
Total waste (Kg)
22.259
555
1.679
1.350
2022
2023
Type of waste (Kg)
Επικίνδυνα απόβλητα Μη-επικίνδυνα απόβλητα
Hazardous Waste
Non- Hazardous Waste
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• Respect for the value and ownership of information managed by the Group and not making
it available without proper authorisation
• Implementation of each project with respect, diligence, and responsibility.
HUMAN RIGHTS POLICY
The Group has adopted and implements a Human Rights Policy, which it revised in 2023, clearly
stating its position against all forms of discrimination and violation of fundamental human rights.
More specifically, the Policy is based on the following pillars:
• Zero tolerance
• Freedom to exercise the right of Collective Bargaining
• Prohibition of all forms of forced and child labour
• Working hours and wages
• Health and Safety
• Harassment Prevention
DIVERSITY CHARTER
The Space Hellas Group, proving its commitment to diversity, inclusion and equality, signed the
Diversity Charter in 2022. Through this initiative, the Group and its companies, SingularLogic,
AgroApps, and SenseOne, enhance their people-centric approach, seeking to create a
corporate culture that supports everyone’s personal freedom and choices, free from
stereotypes. The Charter aims to serve as a binding instrument for the implementation of
equality and diversity in every workplace in Greece.
POLICY AGAINST VIOLENCE AND HARASSMENT
The Group has a Policy against violence and harassment in order to ensure the protection of
employees from such incidents and their freedom to communicate them in a framework of
trust, safety, and confidentiality.
WHISTELBLOWING MECHANISM
In 2023, the Group also implemented the Whistleblowing Mechanism, which concerns incidents
of violation of European legislation and the financial interests of the Group, in order to promote
transparency and reliability throughout its operation.
HUMAN RESOURCE PROFILE
The Space Hellas Group aims to stay ahead of developments and systematically invests in its
people, remaining committed to achieving its vision. Aiming at their better and more effective
growth, the Group has created an equal opportunity work environment that enhances
everyone’s personal and professional development.
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The Group applies a holistic approach to its human resources, in order to create a work
environment that is open to all, in which everyone can showcase their talent, contributing to
their continuous growth.
Geographical distribution of employees
Athens
623
Thessaloniki
114
Patras
11
Ioannina
6
Crete
9
Farsala
3
Cyprus
4
Employee distribution by age
Men
Women
<30
123
31
30-50
337
97
51+
136
46
767
3
767
3
834
3
826
11
Πλήρους
απασχόλησης
Μερικής
απασχόλησης
Σύμβαση εργασίας
αορίστου χρόνου
Σύμβαση εργασίας
ορισμένου χρόνου
Employee distribution by employment contract
2023 2022
Full-time
Part-time
Permanent contract
Fixed-term contract
Employee distribution by hierarchical level and gender
Men
Women
Senior executives
10
2
Senior managers
29
6
Managers
57
12
Other employees
500
154
770
Employees
22,6%
of employees are
women
99,6%
of employees are full-time
and with open-ended
contracts
10,4%
gender pay gap
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RECRUITMENT AND DEVELOPMENT
The Space Hellas Group places particular emphasis on
attracting the right human resources to efficiently and
effectively recruit for open positions. Recruitment is
always carried out in a merit-based and fair manner,
with no discrimination based on personal
characteristics, providing equal opportunities to all
employees.
In 2023, aiming to further improve the recruitment process and achieve maximum efficiency,
the Group strengthened the role of the Human Resources Department. In this context, the
Human Resources department conducts all initial interviews with the candidates for the job and
then forwards the most suitable CVs to the department managers along with a report on the
candidate.
153
30
203
42
Άνδρες Γυναίκες
Recruitment by gender
2023 2022
100
74
9
100
133
12
<30 30-50 51+
Human resources recruitment by age
2023 2022
55
91
12
45
64
8
<30 30-50 51+
Departures by age*
2023 2022
Men
Women
Geographical distribution of recruitment
Athens (HQ and Branch)
140
Thessaloniki
37
Patras
2
Ioannina
2
Crete
2
*In 2023, the Retail & Fuel branch of SINGULARLOGIC A.E. was spun off. which led to the departure of a
total of 95 employees
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REFER A FRIEND
For the second year running, the Space Hellas Group has continued the Refer a Friend
programme, with the aim of attracting new specialised professionals through its existing network
of employees. The programme strengthens and affirms the atmosphere of trust, while creating
a new channel for attracting talented employees. In order to further enhance their
participation in the programme, the Group rewards employees whose proposal results in
recruitment.
In 2023, the Group received a total of 135 applications, 38 more than in 2022, resulting, in the
end, in 36 recruitments.
ENHANCEMENT COOPERATION WITH THE ACADEMIC COMMUNITY
To attract young, talented professionals, the Group’s companies actively participate in career
days and events organised by academic institutions in order to acquaint students with the
Group and the career development opportunities it offers, enhancing the university
community’s connection to the job market. In 2023, the Group participated in the following
events:
• Career Day organized by the Department of Informatics &
Telecommunications of the University of Peloponnese..
• Deree's Career Days
• Piraeus TEDx
• Event to present the Group to IEK AKMI students in the IT and New Technologies Sectors
• Hacker X
• Samos University Career Day
We also offer the opportunity to students of higher educational institutions to do their internship
with us. The goal of the internship is to connect young people with the job market and attract
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new professionals to the Group’s workforce. In 2023, 12 people did their internships with us, of
whom 9 were hired on a permanent contract.
EMPLOYEE BENEFITS
The Space Hellas Group provides its
employees with financial and non-financial
benefits in addition to those specified by
law, in order to reward employees for their
contribution to the Group’s successful
development. More specifically, it offers the
following benefits:
TRAINING AND DEVELOPMENT
The training of the Group’s employees is a continuous process, which is redefined and adapted
in order to contribute to the development of their talents, further enhance their strengths, and
help them pursue the career they want.
Training sessions concern all personnel, regardless of rank, and concern all employees from the
first day of their recruitment, to enable them to successfully undertake their duties.
The Group carried out a series of targeted training sessions in order to adequately cover the
training needs that have arisen. Specifically, in 2023, 4,935 hours of training were carried out,
comprising 296 seminars at Group level, while a total of 387 employees were trained.
In the context of continuous further training of employees and supporting their careers, the
Group also grants postgraduate study programmes, after consulting with the employee.
75%
of interns hired with permanent contracts
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INDUCTION TRAINING
In 2023, the Space Hellas Group launched an onboarding platform for its new colleagues, which
aims at their smooth integration into the Group and their training on key operational issues.
More specifically, a few days after recruitment, new employees are informed via email about
the required steps to start the onboarding process. Employees create personal intranet
accounts, through which they gain access to a platform with informational material, while at
the same time they can see the details of their team’s members. Through this platform,
employees can learn about the Group’s basic policies and procedures while the HR
Department monitors each employee’s progress through a specially configured reporting
method.
COMMUNICATION WITH EMPLOYEES
Communication with employees is a key aspect of the Group’s approach to building
relationships of trust with them, providing prompt and timely information on current issues that
concern the Group and their successful management. To this end, communication channels
have been established that enhance the two-way flow of information and transparency in the
operation of the Group, while in 2023, the intranet was implemented. The communication
channels established by the Group are the following:
61
5
6
89
28
2
Management team
Διοικητικό προσωπικό Τεχνολογικές ομάδες
Average hours of training by ranking and gender
Άνδρες Γυναίκες
Management Personnel
Tech teams
Men
Women
6,4
average
training hours
5,9
average training hours
for women
4.935
Hours of training
27
training hours for BoD
members on ESG issues
Meet the CEO
In the context of enhancing communication with employees, strengthening the Company’s
relationship with them and transparency, SingularLogic has established the ‘‘Meet the CEO’’
programme, aiming to introduce new employees to the CEO in the context of the Induction process.
After an additional 3 months, group meetings are held with the CEO, so employees have the
opportunity to talk to him about matters that concern the Company.
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HEALTH AND SAFETY IN THE GROUP
The Space Hellas Group has taken and is implementing all necessary measures to ensure the
health and safety of its employees. More specifically, it focuses on the principle of prevention
and takes an approach aimed at mitigating H&S risks for employees and partners. With the aim
of continuous improvement, the Group conducts training sessions and actions to inform and
raise awareness among its employees about the importance of complying with health and
safety measures and procedures. At the same time, it implements a certified Health and Safety
Management System that contributes to and shapes a culture of prevention and early
intervention in case of occurring risks.
Newsletter
Email announcements
Departments staff meetings
Open door policy
Intranet
whistleblowing mechanism
Principle of prevention
and risk mitigation
Personnel training and awareness
Health and Safety
Management System
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HEALTH AND SAFETY MANAGEMENT SYSTEM AT WORK
The Group implements the Principles of the Health and Safety Management System set out in
ISO 45001:2018. This System allows for self-assessment, early detection, and effective prevention
and handling of risks, aiming at the safety of all employees and partners at Group facilities.
HEALTH AND SAFETY POLICY
Aiming at continuous improvement, the Group has adopted a Health and Safety Policy that is
part of the integrated Quality - Health & Safety at Work - Environment Policy, which is
communicated to all employees and is updated by Management once a year. This Policy is
the cornerstone of the Health and Safety System and, among other things, it provides:
• Full compliance with current legislation and other relevant Regulations
• Recognition and assessment of professional risks and taking measures to deal with them
• Designing preventive action plans and corrective actions in order to minimise or
eliminate risks
• Systematic measurement, evaluation, and efforts to reduce the levels of exposure to
harmful agents and continuous monitoring of employees’ health
• Open and transparent communication on all health and safety issues
• Informing, raising awareness, and training of personnel
• Systematic inspection of processes and procedures for adherence to Health and Safety
rules and achievement of goals
• Continuous effort to align with international standards and implement best practices.
HEALTH AND SAFETY ISSUES MANAGEMENT
Health and Safety issue management is one of the Group’s
key priorities for creating a safe work environment and
successfully addressing and preventing risks. The integrated
approach to managing the Group’s health and safety issues
consists of the following steps:
CONTINUOUS IMPROVEMENT AND GROWTH
The continuous improvement of the Health and Safety System is achieved through designing
procedures and actions and implementing and monitoring their effectiveness.
IDENTIFICATION AND ASSESSMENT OF RISKS
All of the Group’s facilities have an Occupational Risk Assessment Study, which analyses the
risks, assesses them, and takes suitable measures to address them.
186 thousand €
Investments in H&S
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CONSULTATION WITH EMPLOYEES
Employee consultation is an essential stage in the successful implementation of the system, for
communicating and resolving health and safety issues that may arise. To provide immediate
notification, employees can send emails to a specific email address to communicate issues
related to any problems. Furthermore, employees are encouraged, in the context of the open
and two-way communication that the Group has created, to notify the Safety Technician of
any relevant issue, who will then implement the appropriate corrective actions.
RISK MONITORING
To implement the principle of prevention, risk monitoring through specific measurable Health
and Safety performance indicators is important for monitoring the effectiveness of the measures
and procedures implemented.
Additionally, a specific list of identified potential risks has been created at each facility,
facilitating their monitoring and personnel compliance with the respective rules. To this end,
internal audits are carried out by department Managers and by the Governance, Risk, and
Compliance department on an annual basis, alongside external audits by an independent
external partner.
CULTIVATING CULTURE AND SAFETY
To successfully implement the health and safety measures and procedures, and to ensure that
personnel comply with them, training is carried out to inform employees and raise their
awareness of the importance of complying with all necessary procedures minimising the risk of
occupational accidents. In 2023, the Group launched the intranet, where employees can learn
about health- and safety-related issues through the uploaded material, while training is also
provided during the induction process.
The training of employees is based on the recommendations made by the Safety Technician,
the Occupational Physician, and on modern trends. Specifically, it includes topics related to:
• Health and Safety Management System at work
• Practical instructions for daily implementation and for emergencies
• Instructions for firefighting systems
• Training sessions on specific issues, such as avoiding electric shock, moving heavy objects,
and driving safely.
Lastly, a team has been formed to manage emergencies and has been trained suitably to
manage emergencies and building evacuations, as well as to provide first aid.
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HEALTH AND SAFETY INDICES
Recording and monitoring health and safety indices is a key tool for mitigating the occupational
health and safety risks of our employees. Aiming at zero accidents and the continuous
improvement and cultivation of a culture of safety, we monitor the following indices:
2023
2022
2021
WORK ACCIDENTS
Number of Work Accidents
(absence >1 day)
0
0
0
SEVERITY RATE
LTISR (Lost Time Incidents Severity Rate) for
employees
0%
0%
0%
INJURY FREQUENCY RATE
LTIFR (Lost Time Injury Frequency Rate) for
employees
0%
0%
0%
ABSENTEEISM RATE
AR (Employee Absenteeism Rate)
0,81%
0,93%
0,51%
Sick days per person
2,5
2,5
2,4
CORPORATE SOCIAL RESPONSIBILITY FRAMEWORK
At the heart of the Space Hellas Group’s philosophy is the
recognition of its more profound role in society at large. In addition
to developing innovative technological solutions, the Group seeks
to create meaningful value for society through a wide range of
social actions. Its commitment to supporting and strengthening the
community is reflected both in specific solidarity and support
actions it implements, and in its day-to-day business activities.
€260
thousand €
investments in social
actions
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Through the development of technologies aimed at improving the quality of life, enhancing
public safety and promoting green innovation, the Group directly contributes to economic
development and social well-being and realizes its responsibility towards society and acts as a
responsible partner, demonstrating that sustainability and social value are an integral part of its
business identity.
The social contribution of Space Hellas Group includes the implementation of actions that
strengthen the academic community, support everyone in need, and create added value for
its stakeholders.
Through a cohesive framework of corporate responsibility actions, in which employees play an
essential role, the Group succeeds in contributing to society, while also promoting the well-
being of its employees.
SUPPORTING EDUCATION AND SCIENCE
"DIMITRIS MANOLOPOULOS" SCHOLARSHIP
The ‘‘Dimitris Manolopoulos’’ scholarship was established in honour of the founder of the Group
and seeks to support top-mark students in the IT sector. The 4
th
scholarship was awarded in 2023
to two top-mark graduate students studying in the ‘‘Translational Engineering in Health and
Care for education
and science
The Group carries out
actions aimed at
promoting research
and innovation and
supporting talented
young people.
Caring for people
It is with a sense of
responsibility that the
Group actively supports
organisations that do
important social work.
Employee volunteering
Employees participate
actively in actions to raise
awareness and promote
social well-being.
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Medicine'’ Postgraduate Programme of the National Technical University of Athens and the
‘‘Cryptography, Security & Information Systems’’ Postgraduate Programme of the Hellenic
Military Academy, respectively. The aim of the scholarship is to encourage students to continue
their studies in fields related to communications networks, cybersecurity, and artificial
intelligence (AI). Applications for the 5
th
round of scholarships began in 2023.
UTILISING TECHNOLOGY IN THE EDUCATIONAL PROCESS
Supporting education is an integral part of the Group’s commitment to innovation, continuous
improvement, and technological progress. The Group aims to support education through both
the actions and the projects it implements. In 2023, the Group launched the ‘‘Supply and
installation of interactive learning systems’’ programme, which is part of the ‘‘Greece 2.0’’
National Recovery and Resilience Plan. The aim of the project is to provide interactive
blackboards for primary and secondary schools in order to enhance educational innovation
and familiarise students with the use of technology, upgrading the educational process.
MODERNISING AND PROMOTING THE NATIONAL ARCHAEOLOGICAL MUSEUM
Space Hellas, in partnership with Radiant Technologies, implemented the ‘‘Modernising and
Promoting the National Archaeological Museum through the use of Information and
Communication Technologies’’ project, which showcases the benefits of linking technology
with culture. Among other things, the project includes the creation of audio tours, guided tours
for special audiences, interactive screenings, and the digitisation and documentation of the
Treasures of the Photographic Archive.
The project includes:
• Improving the Museum’s existing digital infrastructure.
• Digitising the photographic archive.
• Developing educational applications.
• Virtual tour of the Museum’s collections.
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• Audio tours on the public’s mobile devices.
• Informing the public via social networks.
• Implementing information stations.
• Connecting the Museum online with other websites.
• Digital signage systems in exhibition spaces.
• Live video transmission system from Museum events.
• Special tour applications.
The project included procurement of the necessary technological equipment, digitisation of
part of the Museum’s permanent collections, writing scripts for thematic tours, etc. Digital
infrastructure expands and strengthens the Museum’s communication services, while at the
same time creating the right conditions for future use of the resources generated.
CARING FOR THE PEOPLE
Aiming to actively support society, the Group collaborates with organisations whose work aims
to meet the needs of vulnerable social groups, enhancing their inclusion in society.
THE SMILE OF THE CHILD
Space Hellas has been supporting ‘‘The Smile of the Child’’ for 14
consecutive years, meeting the school-supply needs of children hosted
at facilities and participating in the ‘‘Technology Team for Children’’,
aiming to upgrade the organisation’s networks and services through the
adoption and implementation of innovative digital tools. Furthermore,
the Group’s subsidiary SingularLogic also hosted the organisation at its
Christmas bazaar.
MAKE A WISH
Since 2019, Space Hellas has been supporting the ‘‘Make
a Wish’’ organisation, with the aim of making the wishes of
children facing serious illnesses come true. Additionally, in
2023 Space Hells participated in the annual walk, Walk for
Wishes, in central Athens, to celebrate World Wish Day.
AMIMONI
SingularLogic, in the context of its Christmas bazaar, hosted Amimoni, an
organisation that supports children with multiple disabilities and their
guardians.
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ALMA ZOIS
SingularLogic participated in the EU-wide Pink@Work initiative, responding to the call from
‘‘Alma Zois’’ to raise awareness about breast cancer. Wearing pink, employees highlighted the
importance of prevention and early diagnosis in dealing with the disease.
EMPLOYEE VOLUNTEERING
The Group’s employees, through the volunteer teams they have created, participate in actions
aimed at raising society’s awareness of important issues while also carrying out actions that
contribute to and enhance their well-being and strengthen relations between them.
BLOOD DONATION
Space Hellas and SingularLogic employees carried
out two voluntary blood drives this year, aiming to
cover blood needs through a simple but
meaningful action. Employee awareness and
participation contributed to collecting 50 units of
blood in 2023, while in total, more than 1,170 units of blood have been collected over the past
23 years.
PARTICIPATION IN THE 40TH MARATHON
The Space Hellas Running Team participated in the 40th
Athens Marathon, supporting this historic institution and
its charitable cause, with the participation of a total of
64 employees, 4 of whom participated in the 42-
kilometre race.
RACE FOR THE CURE
SingularLogicTeam participated in Race for the cure, an
institution that aims to raise social awareness of breast
cancer by supporting the work of ‘‘Alma Zois’’.
BASKETBALL TEAMS
The Group has employee basketball teams which it supports
so that they can practice and participate in amateur
championships. In 2023, the Space Hellas basketball team
was crowned champion of the amateur #Basketaki league,
a distinction that highlights the importance of teamwork and
collaboration outside the workplace.
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THEATRE GROUP
SingularLogic, recognising the importance of its
employees’ well-being, has taken initiatives that
encourage physical and mental health. One such
initiative is the creation of a voluntary theatre
group, through which employees can express their
creativity, develop new skills through engaging
with theatre, and strengthen teamwork and
solidarity.
SOUND CORPORATE GOVERNANCE
CORPORATE GOVERNANCE FRAMEWORK
The Space Hellas Group has established an extensive Corporate Governance framework,
which is key for promoting transparency, accountability, and integrity in every aspect of its
business. This framework includes a number of policies, procedures, rules, and systems that help
identify and respond to risks early and enhance its effectiveness and resilience. Space Hellas
(the Parent Company) pursues the consolidation and incorporation of these governance
standards, aiming at creating a single and integrated governance system that covers the
Company and its major subsidiaries. This approach reinforces commitment to the Group’s
mission and values while encouraging consistency and transparency in all its operations.
SPACE HELLAS GROUP
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BUSINESS CONTINUITY
Having as its main objective the seamless provision of quality
services and timely response to customer requirements, Space
Hellas implements a Business Continuity Management System, in
accordance with the requirements of ISO 22301:2019, for the
adoption, implementation, organisation, monitoring, and
continuous improvement of its business continuity. The goal is to
mitigate risks and for the Group to successfully respond to crises arising from the external
environment.
The Business Continuity Management System is complemented by the Business Continuity Plan,
which includes, among other things, staff training, scenario outlining and testing, internal
organisation, recovery of critical functions, as well as operational impact analysis. Through these
tools, Space Hellas has successfully managed crises and expanded its activities.
BOARDS OF DIRECTORS
The Board of Directors of Space Hellas is responsible for issues
pertaining to corporate governance, the day-to-day
operations, and the long-term growth of the Group. Moreover,
the Board of Directors is responsible for monitoring and
managing the Group’s Sustainability issues, which are of high
priority. Its members have different characteristics and
capabilities in order to achieve effective management of all
issues. Its operation is determined by the Rules of Procedure and
the applicable legislation on Corporate Governance, including matters relating to the BoD’s
training and education.
The members of the Board of Directors are elected by a general meeting of the shareholders
of the Company, while the Company has a Remuneration and Nomination Committee, which
identifies and proposes to the Board persons suitable for becoming members of the Board of
Directors. The remuneration of the members of the BoD is determined by the Company’s
Remuneration Policy. The overall management of the Board of Directors is assessed annually by
the General Meeting of the Company’s Shareholders, which is the Group’s supreme governing
body.
In 2023, the Board
of Directors of
Space Hellas was
trained on the
General Principles
of Sustainable
Development.
Space Hellas is
certified with ISO
22301:2019.
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Space Hellas
Full name
Membership
Spyridon Manolopoulos
Chairman, Executive Member
Panagiotis Bellos
Vice President, Executive Member
Theodoros Chatzistamatiou
Vice President, Non-Executive Member
Ioannis Mertzanis
CEO, Executive Member
Ioannis Doulaveris
Executive Member
Anastasia Paparizou
Executive Member
Emmanouil Chatiras
Independent, Non-Executive Member
Eirinαios Theodorou
Independent, Non-Executive Member
Anna Kalliani
Independent, Non-Executive Member
The work of the Board of Directors is further supported by Committees and Units, which aim at
ensuring the smooth and transparent operation of the Group and its resilience. More
specifically, the Board of Directors is supported by the following Committees and Units:
• Audit Committee
• Internal Audit Unit
• Board Remuneration and Nomination Committee
• Risk Management Unit
• Regulatory Compliance Unit
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Moreover, the Board of Directors of the SingularLogic subsidiary consists of executives with
specialised knowledge, skills, and experience and is responsible for settling all company issues,
its effective operation, and its growth.
AUDIT COMMITTEE
The Audit Committee supports the Board of Directors in its work and oversees matters pertaining
to the Company’s internal operation, such as the drafting of financial statements, financial
reporting, and the effectiveness of auditing systems. The competencies of the Committee are
detailed in the Rules of Procedure of the Audit Committee, which are posted on the Company
website (https://www.space.gr/el/corporate-governance-code). The Committee publishes its
activities in an annual report, which is delivered to the Board of Directors and is included in the
Corporate Governance Statement, which is in turn included as a special section of the
Management Report, which is an integral part of the Annual Financial Report.
Singular Logic
Full name
Membership
Spyridon Manolopoulos
Chairman
Ioannis Mertzanis
CEO
Ioannis Doulaveris
Member
Panagiotis Bellos
Member
Theodoros Chatzistamatiou
Member
SenseOne
Full name
Membership
Spyridon Manolopoulos
Chairman
Ioannis Mertzanis
CEO
Ioannis Doulaveris
Member
Panagiotis Bellos
Member
Sotiris Karagiannis
Member
Full name
Membership
Eirinaios Theodorou
Chairman, Independent non-executive member of the
BoD
Emmanouil Chatiras
Member, Independent non-executive member of the BoD
Theodoros Chatzistamatiou
Member, non-executive Vice-President of the BoD
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REMUNERATION AND NOMINATION COMMITTEE
The single Remuneration and Nomination Committee assists the Board of Directors in the
effective, sound, and meritocratic management of the Company. It regulates issues that
involve finding suitable Board Members and their proposed remuneration based on
experience, education, and contribution to the Company, in accordance with the Eligibility
Policy and the Remuneration Policy, respectively.
The duties and responsibilities of the members of the Committee are set out in the Rules of
Procedure of the Remuneration and Nomination Committee, posted on the company’s
website: https://www.space.gr/el/corporate-governance-code.
INTERNAL CONTROL UNIT AND INTERNAL CONTROL SYSTEM
The Internal Audit Unit aims to achieve a more effective operation
of Space Hellas, transparency and accountability through its
compliance with the legislative and regulatory framework, while
also helping strengthen stakeholder trust. The Internal Audit Unit is
governed by internal rules, which precisely define its competences
and the issues pertaining to its activities, and are posted on the
Company’s website. The head of the Internal Audit Unit is an
independent internal auditor, who is appointed by the Board of Directors and must attend the
Company’s general meetings to ensure impartiality and transparency. The CV of the head of
the Internal Audit Unit is posted on the Company’s website.
The Internal Audit System contributes to monitoring, preventing and mitigating risks, to
impartiality, reliability of financial reporting, and monitoring of and compliance with the
applicable regulatory framework. The Internal Audit System achieves the implementation of the
operational strategy and the best use of available resources. The Internal Audit System is
evaluated by an independent person with proven relevant professional experience, in
accordance with best international practices (indicatively, the International Standards on
Full name
Membership
Emmanouil Chatiras
Chairman, Independent non-executive member of the
BoD
Eirinaios Theodorou
Member, Independent non-executive member of the
BoD
Theodoros Chatzistamatiou
Member, non-executive Vice-President of the BoD
The Regulatory
Compliance Unit
received training in
2023.
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Auditing, the International Professional Standards Framework for Internal Auditing, and the
Internal Audit System framework of COSO).
REGULATORY COMPLIANCE UNIT (RCU)
The Regulatory Compliance Unit is an independent organisational unit within the Company that
operates within the framework of the Department of Legal Services and Regulatory
Compliance, with the purpose of continuously aligning the operation of the Company with the
current regulatory and legislative framework and the internal regulations governing the
Company’s operation. Its competences are set out in its Rules of Procedure and include,
among other things:
• Monitoring of the institutional, regulatory & supervisory framework and the decisions of
the supervisory authorities.
• Submitting proposals to the BoD for new prevention policies/procedures/measures.
• Developing a new action plan.
• Carrying out compliance checks.
• Informing & training Company staff on regulatory compliance issues.
• Managing queries/requests on regulatory compliance issues.
The Director of the Company’s Legal Service and Regulatory Compliance Department has
been appointed Head of the Regulatory Compliance Unit by the Company’s Board of
Directors.
RISK MANAGEMENT UNIT (RMD)
The Risk Management Unit is supervised by the Audit Committee and is in charge of managing
financial and non-financial risks to ensure the long-term sound operation of the Company. The
Risk Management Unit supports executives in cases concerning third parties or investment plans,
while it is involved in reviewing policies or procedures that carry risks.
The Risk Management Unit works continuously, submitting annual, semi-annual, and
extraordinary internal reports to the competent bodies, and external reports to the competent
bodies when deemed necessary.
RISK MANAGEMENT
Risk Management is an essential element of the Internal Audit System. More specifically, to
evaluate the likelihood, extent, and impacts of risks that could affect the smooth operation of
the Company. Risk is managed through the Risk Control Self-Assessment function and is
conducted by the Risk Management Unit. The COSO (the Committee of Sponsoring
Organizations of the Treadway Commission) ERM framework and the relevant guidelines are
taken into account.
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The Risk Management Unit is responsible for identifying, recording, evaluating, and successfully
addressing the potential risks that could affect the Group throughout its activities. In the context
of COSO, the Risk Management Unit has identified specific non-financial risks, which require an
organised approach.
In particular, the risks identified and assessed are the following:
1. Operational: The potential inadequacy of internal Policies and Procedures is
considered. The risk of natural disasters in combination with climate change and the
rapid changes and impacts it entails is also examined. The ever-increasing risk of human
resources, especially in technology companies, is an important evaluation section of
the RMU. The risk of the Information Systems is also evaluated, along with the risk of
outsourcing.
2. Compliance: A potential lack of monitoring of the Company’s code of conduct and
regulations, as well as a failure to comply with the Legislative requirements and
requirements of the Supervisory Authorities are examined. Special importance is
attached to the Company’s compliance with the legislation on personal data
protection, health and safety issues. Lastly, Legal Risks arising from a possible insufficient
examination of the legal nature of the contracts being drafted with customers or
partners are also examined.
3. Strategic: Strategic planning risks refer to the company’s ability to identify business
opportunities or threats and utilise opportunities for mergers, acquisitions, divestments,
joint ventures, and partnerships that are aligned with its strategic goals, with a potential
negative impact on decisions or planned benefits. Communication risks are evaluated,
i.e. effective communication with personnel and other stakeholders. Lastly, the potential
inability of the Company to maintain its operations in case of emergencies is also
examined.
4. Market: Significant individual risks are considered in this category. Can the company
correctly predict short-term price fluctuations (e.g. raw materials, provided third-party
services, etc.)? What is the company’s perception of and reaction to the needs of the
market and competition? Is the geopolitical risk affecting the Company’s operations
taken into account?
5. Financial: Examination of the company’s inability to manage its cash flows to meet its
needs. Possible increases in interest rates resulting in the company being exposed to
higher borrowing costs, lower investment returns, or reduced asset values. Predicting
and taking measures to address the fluctuation or correlation of exchange rates that
affect its assets, sales, and liabilities.
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SUSTAINABILITY POLICY
Space Hellas acknowledges the critical importance of sustainable development as the central
axis of its business philosophy and operation, applying a consistent framework of policies and
procedures that support the implementation of principles of sustainability in all dimensions of its
activity. This includes a commitment to managing the environmental, social, and
intergovernmental impacts of its operations responsibly, enhancing transparency,
accountability and integrity in its operation.
Focused on the unification of sustainability practices at all levels of the organisation, Space
Hellas has set the goal of the integrated implementation of the Sustainability Policy, aiming at
the harmonious integration of strategies and actions in line with its values and ideals, as well as
international guidelines. This commitment is reflected in the Group’s firm dedication to
achieving high environmental performance, developing and supporting a healthy and fair
work environment, and adopting governance principles that enhance corporate integrity and
trust.
PERSONAL DATA PROTECTION
Personal data protection is a decisive factor for the Group’s successful operation and long-term
growth. The Group handles a large volume of sensitive data, which makes it necessary to take
all necessary preventive measures to safeguard the data from any external attacks and
potential leaks. Thus, an integrated Data Protection System has been developed, which consists
of systems certified with internationally recognised standards that function as safeguards.
To enhance its systems and the trust of stakeholders, the Group has a specialised Information
Security System certified according to ISO 27001:2013 and an IT Service Management System
certified according to ISO 20000-1:2018.
SECURITY OPERATIONS CENTER -SOC
The Company’s ‘‘Security Operations
Centre’’ identifies and prevents internal
weaknesses and risks, to detect possible
incidents and deal with them in a timely
manner. Structured with Hub architecture, it
combines a variety of differentiated systems
in a single integrated digital ecosystem in order to achieve maximum security and minimum
response time to potential threats.
The Security Operations Center operates continuously, collecting and analysing data from the
Group’s internal systems, carrying out checks for unusual events by implementing predefined
rules in a ‘‘System information Event Management’’ (SiEM) software and manually with ‘‘Threat
In 2022, Space Hellas developed a Privacy
Information Security System certified with
ISO/IEC 27701:2019, highlighting the
Group’s commitment to the safe
management and safekeeping of
customer data.
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Hunters’’. The ‘‘Security Operations Centre’’ is a key element of its cybersecurity strategy, as it
ensures continuous monitoring, detection, and response to security incidents, enhancing the
Group’s credibility with its customers.
CONFLICT OF INTEREST, CORRUPTION AND BRIBERY ISSUES
To prevent and deal with conflict-of-interest issues, the Group has established and implements
a specific procedure, that is applied to all employees regardless of rank, and is referred to in
detail in the Internal Rules of Operaion. In this context, the Code of Conduct sets out the
expected ethical and professional conduct of employees in their daily activities. For employees
with managerial responsibilities, additional procedures are in place to disclose holdings and
transactions that belong to them and those closely associated with them.
By implementing these procedures, the Group seeks to be in full compliance with the
applicable legislation, international good practices, and the recommendations of international
organisations such as the OECD and the UN Global Compact, when establishing new policies,
procedures, and regulations.
In full compliance with the applicable laws and based on its transparent and effective
operation, the Group has zero tolerance for any incidents of bribery, corruption, and violation
of the law on healthy competition. All Group employees can contact the Legal Services and
Regulatory Compliance Department to receive information and guidance in case of such
incidents.
SPACE HELLAS 2022 TARGETS
The targets below refer to the 2022 Sustainability Report of the Space Hellas Group Parent
Company. As this report presents data on a Group level, it was deemed appropriate to
separate them from the targets set by the Group.
Target Description
Year of
Implementation
Performance
Environment
1. Creation of introductory training on environmental protection for
all new employees joining the Company.
2023
Achieved
2. Implementation of an ISO 50001-certified Energy Management
System.
2023
Revised
3. Evaluation and implementation of energy-efficient measures,
such as BMS (Building Management Systems) in buildings,
Restriction of operating hours for air conditioners, and possible
inclusion of photovoltaic panels on a roof terrace.
2023
In progress
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Society
4. Coaching Skills training for Management Executives.
2022
Achieved
5. New manager team training.
2022
Achieved
6. Completion of training intervention that concerned the
company's entire Management Team and which had begun in
late 2019.
2022
Achieved
7. Design and introduction of an induction plan for all new
colleagues.
2022
Achieved
8. Creation of a Career Path in Technology Departments.
2023
Achieved
9. Performance Evaluation System Upgrade.
2023
Revised
10. Evacuation drill at all Company facilities.
2023
Achieved
11. Creation of induction training specifically on Health and Safety
issues for newly hired persons.
2022
Achieved
Corporate Governance
12. Drafting Sustainable Development Strategy.
2023
Revised
More information about the non-financial indicators is presented in the Group's annual
Sustainable Development Reports, which are posted on its website at the link:
https://www.space.gr/el/sl/corporate-social-responsibility.
2.8 SPACE HELLAS EU TAXONOMY REPORT 2023 REPORTING OBLIGATIONS UNTER ART.8
REGULATION (EU) 2020/852
Introduction
The EU Taxonomy is a classification system, of activities that can under certain conditions be
considered as environmentally sustainable or as activities that enable the transition to
environmental sustainability. Under the Taxonomy regulation, companies and organizations
can attract funds to develop their sustainable activities as well as expand them further,
provided they meet certain criteria. Entities are expected to examine the alignment of their
activities to the Taxonomy framework in order to determine the sustainability level of the said
activities. Specifically, the environmental objectives at the center of the Taxonomy framework
are the following:
1. Climate change mitigation;
2. Climate change adaptation;
3. The sustainable use and protection of water and marine resources;
4. The transition to a circular economy;
5. Pollution prevention and control;
6. The protection and restoration of biodiversity and ecosystems.
The delegated acts adopted under the Taxonomy Regulation provide technical screening
criteria which must also be met to constitute taxonomy alignment. At the moment of
publication of the present, report the Taxonomy-eligible activities have been set out by 2
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Delegated Acts currently in force. In 2021, the EU adopted the first Delegated Act 2021/2139
(EU) which set out activities and technical screening criteria for substantial contribution towards
objectives 1-2 above, including DNSH criteria for other objectives. Moreover, in 2023, the second
Delegated Act 2023/2486 (EU) was published with regard to activities significantly contributing
to environmental objectives 3-6 above.
The Taxonomy framework provisions that are effective on the date of the present report, require
from in-scope companies to disclose the amount and proportion of activities which are eligible,
non-eligible and aligned with the first 2 climate objectives as part of their total turnover, capital
and operational expenditure and to perform related alignment assessments for all such
activities. Furthermore, they require the disclosure of the proportion of their taxonomy-eligible
activities (described in the 2023/2486 (EU) Delegated Act adopted in 2023) and non-eligible
economic activities as part of their total turnover, capital and operational expenditure. Finally,
all the quantitative information is accompanied by certain qualitative information for all
objectives (1-6). The Group applied Regulation (EU) 2020/852 as supplemented with
Commission Delegated Regulation (EU) 2021/2139, Commission Delegated Regulation (EU)
2021/2178, Commission Delegated Regulation (EU) 2023/2485 and Commission Delegated
Regulation (EU) 2023/2486 to identify activities that are eligible.
The Group has assessed its alignment with the technical screening criteria applicable to its
activities based on the current interpretation resulting from legislation as well as the guidelines
and related clarifications issued by the European Commission up to the time of publication of
this report. However, the relevant directives leave room for interpretation and are constantly
evolving to adapt to the needs of the process and the Union's climate goals. The EU's intention
to gradually tighten the criteria to keep pace with its environmental goals is part of the
framework. Therefore, eventual alignment of the economic activities of businesses with the EU
Taxonomy based on the current criteria does not ensure their future alignment. The Group
monitors the developments and will adjust its approach accordingly in terms of the assumptions
and the methodology applied in order to report the required information in a clear and sensible
manner.
Environmentally Sustainable Activities
In order to characterize an activity as environmentally sustainable in accordance with the
Taxonomy Regulation (art.3, R.2020/852/EU), the following criteria will have to be met for each
of the eligible activities:
• The activity contributes substantially to one or more of the environmental objectives set out
in the Taxonomy framework
• The activity does not significantly harm any of the remaining environmental objectives
• The activity is carried out in compliance with the minimum safeguards
• The activity complies with technical screening criteria
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Activities contributing substantially to the Transition to a climate-neutral economy
In the context of the environmental objective of “Climate Change Mitigation”, the legislation
distinguishes certain subcategories of activities, among which are the activities that "support
the transition" alternatively termed "transitional activities" as defined in art.10, para.2 of the EU
Taxonomy Regulation (2020/852). Specifically, the framework of the Taxonomy includes the
possibility that for some activities it is not practically feasible (for economic and/or
technological reasons) to operate with zero greenhouse gas emissions at the moment.
However, as not all criteria in all activities are linked to GHG emissions, activities that meet some
criteria and therefore qualify as 'aligned' despite their perhaps significant emission levels, are
categorized in the sub-category 'transitional activities'. This category includes three possible
cases of activities as shown below:
• Activities that have greenhouse gas emission levels that correspond to the best
performance in the sector or industry;
• Activities that do not hamper the development and deployment of low-carbon alternatives
and
• Activities that do not lead to a lock-in of carbon-intensive assets, considering the economic
lifetime of those assets.
Enabling Activities
Another subcategory of activities that could aid in the achievement of the objective of Climate
change mitigation or any of the rest of the objectives set by the Taxonomy framework are the
so-called “enabling activities”. An enabling economic activity can contribute substantially to
the environmental objectives by directly enabling other activities to make a substantial
contribution to one or more of those objectives, provided that such economic activity:
• does not lead to a lock-in of assets that undermine long-term environmental goals,
considering the economic lifetime of those assets; and
• has a substantial positive environmental impact on the basis of life-cycle considerations.
Compliance with the said criteria is monitored continuously and reported on an annual basis.
As part of the Taxonomy reporting process, the Group discloses in the following section the key
performance indicators relating to our economic activities for the FY2023. The detailed
presentation of the numerical indicators (KPI) can be found in the corresponding tables at the
end of this section.
Group Activities
Space Hellas Group is a leader in the field of Information and Communication Technology (ICT)
providing integrated solutions that combine different technologies such as Cloud-Βased
Services, IoT, Smart Cities and Cybersecurity. Moreover, it participates in numerous national and
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supranational research programs which develop and apply the most advanced technologies
in many different applications. In 2023 the Group examined its activities on the basis of the two
Delegated Acts currently in force and concluded that they fall under the following economic
activities:
• CCM 8.1 – Data processing, hosting and related activities
• CCM 8.2 – Data-driven solutions for GHG emissions reductions
8.1 – Data processing, hosting and related activities
Taxonomy Activity Description:
This activity consists of the storage, manipulation, management, movement, control, display,
switching, interchange, transmission or processing of data through data centers, including
edge computing.
An economic activity in this category is a transitional activity, as referred to in the Taxonomy
Regulation (EU) 2020/852 where it complies with the technical screening criteria set out in the
relevant regulation.
Eligible Space Hellas group activity description:
The Group, as one of the leading System Integrators, undertakes the development/utilization of
data centers with the aim of, among other things, the circulation and management of data as
part of the projects it implements. By combining its expertise with the leading technological
equipment, Space Hellas creates advanced systems that meet the needs of its customers.
During 2023, the Group implemented projects of public interest in which the creation and use
of data centers had a decisive role, such as "SYZEFXIS II ICT" (fixed telephony services, internet
access, mobile telephony, data packages, video conferencing, etc., to public bodies) as well
as the "Electronic Panel" and related features and services in courts.
8.2 – Data-driven solutions for GHG emissions reductions
Taxonomy Activity Description:
This activity consists of the development or use of ICT solutions that are aimed at collecting,
transmitting, storing data and at its modelling and use where those activities are predominantly
aimed at the provision of data and analytics enabling GHG emission reductions. Such ICT
solutions may include, inter alia, the use of decentralized technologies (i.e. distributed ledger
technologies), Internet of Things (IoT), 5G and Artificial Intelligence.
An economic activity in this category is an enabling activity as referred to in the Taxonomy
Regulation (EU) 2020/852 where it complies with the technical screening criteria set out in the
relevant regulation.
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Eligible Space Hellas group activity description:
Space Hellas holds a leading position in the field of innovation as a company, with pioneering
services in new technological trends such as Cloud Based Services, Internet of Things, Smart
Cities, Big Data, Blockchain, AI, etc. These services also include the development of solutions
that combine equipment such as state-of-the-art external sensors with networks such as IoT, 5G,
in order to collect and analyze data and create models that will lead to the reduction of
greenhouse gas emissions. In 2023, the Group continued the implementation of large Internet
of Things (IoT) projects for optimal energy management of industrial and building facilities as
well as other projects such as "Installation of Weather Stations & Development of Internet Portal
Infrastructure" on behalf of the National Meteorological Service. During this project, in addition
to upgrading the existing hardware and software infrastructure, among other things, specialized
meteorological products were created and the procedures for sending and receiving
meteorological information were automated.
Assessment of compliance with the Taxonomy Regulation (2020/852/EU) and the technical
screening criteria (2021/2139/EU)
Both of the Group’s economic activities under the EU Taxonomy, follow very similar technical
screening criteria, thus assessment for the activities’ compliance was conducted jointly by the
Group. A key element of the criteria for the climate objectives of Mitigation and Adaptation is
the assessment of physical climate risks and vulnerability related to and affecting the activities
in question. Space Hellas Group has already undertaken an initial process towards the
assessment. Under its certified Business Continuity Management System, Space Hellas has
identified two relevant physical climate risks, namely heavy precipitation and intense heat.
Countermeasures have been designed for the identified risks, however this assessment is a
continuous and lengthy process and the Group will carry on the development and
improvement of it according to the relevant criteria and clarifying instructions.
Minimum Safeguards
The minimum social safeguards in internationally recognized human and labor rights, serve as
the social pillar of the European Taxonomy ecosystem, guaranteeing the respect and
upholding of human rights across the Group's activities. Space Hellas recognizes its responsibility
as an entity, which is inextricably linked to the society in which it operates, influencing and being
influenced by the circumstances of the modern era. The Company exercises due diligence to
avoid any negative impacts and complies with human and labor rights standards as outlined
in the OECD guidelines in the United Nations Guiding Principles and applicable legislation.
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Respect for Human and Labor Rights
Human and labor rights, compliance with legislation and ensuring a healthy and safe working
environment are key priorities for Space Hellas. The Company's most valuable capital, its
people, are at the center of its actions and it takes care of their needs and recognizes their
rights. At the same time, outside of its borders, throughout the scope of its value chain, the
Company maintains high standards in its collaborations and promotes respect for human rights
in its transactions. Finally, the projects, research and pioneering solutions of Space Hellas provide
incomparable advantages and create new data in the digital evolution of every organization
while at the same time causing great social impact. One such project is the Urban Security
Management in Piraeus implemented by the Company and for which it was awarded a place
at the Impact BITE Awards 2021.
Further information regarding compliance with the minimum social safeguards is presented in
the Group’s annual Sustainability Reports, which is available on its website in the following link:
https://www.space.gr/en/sl/corporate-social-responsibility
Fight against corruption
Space Hellas Group has zero tolerance for incidents of corruption, bribery as well as practices
against the rules of competition and the provisions of current legislation. The Legal Services
Department of the parent Company is vigilant in dealing with incidents of doubt and is
constantly accessible to all the staff of the Company concerned to inform and support them in
dealing with such matters. In addition, the Company has developed and implements a series
of policies on various issues related to its operation, among which are the Code of Ethics and
the Internal Regulation of Operation. In this way, it strengthens the Transparency and the feeling
of Integrity among all the employees of Space Hellas, which is also promoted in the Group and
its other partners.
Tax Issues
Transparency and Integrity as fundamental principles of the Group characterize the treatment
of tax obligations as well as the overall approach regarding its tax planning. Space Hellas Group
takes care of the timely and comprehensive fulfillment of its tax obligations and fully cooperates
with the competent tax authorities in all the countries in which it is present for better compliance
with the relevant legislation. More information regarding the management of tax matters is
provided in the corresponding note to the financial statements.
Fair Competition
Space Hellas Group respects the rules of competition in all the countries and regions in which it
operates, in accordance with the OECD guidelines for multinational companies. The promotion
of Transparency and Integrity in competition, especially in the sectors in which the Group
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operates which include the undertaking of public state projects and European research
programs is an integral part of its operation and a prerequisite for receiving relevant projects.
Qualitative information
Accounting policy
The figures presented in this report have been calculated and are presented in accordance
with the International Financial Reporting Standards (IFRS) that have been issued by the
International Accounting Standards Board (IASB) and their interpretations. Their preparation
requires estimations during the application of the Group’s accounting principles.
Important admissions made by management towards the implementation of the Group’s
accounting methodology are presented wherever it has been deemed appropriate. The
accounting principles used in the preparation of this report are presented in Note 4.5.2 of the
Annual Financial Report.
The reporting obligations concern Key Performance Indicators (KPI) of turnover, capital
expenditure and operating expenditure, as well as the accompanying information on their
interpretation and calculation.
Turnover KPI
The proportion of Taxonomy-aligned/eligible economic activities from the total turnover has
been calculated based on the turnover from services corresponding to Taxonomy-
aligned/eligible activities (numerator) respectively, divided by the total turnover (denominator).
As the services/solutions provided during the projects may fall under more than one economic
activities of the EU Taxonomy, the Group decided to distribute the relevant revenues on the
basis of the equipment. Therefore, in projects that included both data centers and data
solutions development, the related revenues have been separated to reflect the differentiation
of these costs. Finally, the total turnover of the Group is presented in Note 4.6.1 of the Annual
Financial Report of 2023.
CapEx KPI
The CapEx KPI is defined as Taxonomy-aligned/eligible Capex (numerator) respectively divided
by total Capex (denominator). The total capital expenditure contains the additions to property,
plant and equipment as well as intangible assets and right-of-use assets during the fiscal year,
before accounting for depreciation, amortization and any remeasurements, including those
resulting from any revaluations and impairments. The total capital expenditure is presented in
Notes 4.6.7, 4.6.8, 4.6.9 of the Annual Financial Report of 2023
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OpEx KPI
The Opex KPI is defined as OpEx (numerator) related to aligned/eligible economic activities
respectively divided by the total OpEx (denominator). The definition of EU Taxonomy for the
operational expenses includes expenses for research and development, renovation of
buildings, maintenance and repair, as well as any other direct expenses related to the day-to-
day maintenance of property, plant and equipment. Total OpEx consists of direct non-
capitalized costs relating to repair and maintenance (denominator). It does not include
expenditures relating to the day-to-day operation of PP&E such as: raw materials, cost of
employees operating the machine, electricity or fluids that are necessary to operate PP&E.
Turnover ΚΡI
Financial Year 2023
Economic activity (1) Code (2) Turnover (3)
Proportion of
turnover, year
2023 (4)
Climate
change
Mitigation (5)
Climate
change
Adaptation (6)
Water (7) Pollution (8)
Circular
economy (9)
Biodiversity (10)
Climate
change
Mitigation (11)
Climate
change
Adaptation (12)
Water (13) Pollution (14)
Ciroular
economy (15)
Biodiversity (16)
Text
€000 % Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N % Ε T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned )
0 0% % % % % % % Y Y Y Y Y Y Y %
0 0% % % % % % % Y Y Y Y Y Y Y % Ε
0 0% % Y Y Y Y Y Y Y % T
Α.2 Taxonomy - eligible but not Environmentally sustainable activities (not Taxonomy-aligned activities)
EL;N/EL EL;N/EL EL;N/EL EL;N/EL EL;N/EL EL;N/EL
Dat a process ing, host ing
and relat ed act ivit ies
CCM 8.1 23.355 16% EL N/EL N/EL N/EL N/EL N/EL 16%
Dat a-driven solut ions for
GHG emissions reduct ions
CCM 8.2 2.891 2% EL N/EL N/EL N/EL N/EL N/EL 2%
26.246 18% 17% 0% 0% 0% 0% 0% 18%
26.246 18%
17% 0% 0% 0% 0% 0% 18%
B.TAXONOMY-NON-ELIGIBLE ACTIVITIES
121.832 82%
148.078 100%
Turnover of Taxonomy-non-eligible activities
TOTAL
Α. Turnover of Taxonomy-eligible activities
(A.1+A.2)
Category
Transitional
activity (20)
Turnover of Environmentally sustainable
activities (Taxonomy aligned ) (A.1)
Of which enabling
Of which transitional
Proportion of
TaxonomyTurno
ver-aligned
(A.1.) or eligible
(A.2.) turnover,
year 2022 (18)
Category –
enabling
activity (19)
Year
Substantial contribution criteria
DNSH Criteria ("Does Not Significantly Harm")
Minimum
safeguards (17)
Turnover of Taxonomy-eligible but not
environmentally sustainable activities (not
Taxonomy-aligned activities) (A.2)
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CapEx ΚΡI
Financial Year 2023
Economic activity (1) Code (2) CapEx (3)
Proportion of
CapEx, year
2023 (4)
Climate
change
Mitigation (5)
Climate
change
Adaptation (6)
Water (7) Pollution (8)
Circular
economy (9)
Biodiversity (10)
Climate
change
Mitigation (11)
Climate
change
Adaptation (12)
Water (13) Pollution (14)
Ciroular
economy (15)
Biodiversity (16)
Text
€000 % Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N % Ε T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable actitivities (taxonomy-aligned )
0 0% 0% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y %
0
0% 0% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y % Ε
0
0% 0% Y Y Y Y Y Y Y % T
Α.2 Taxonomy - eligible but not Environmentally sustainable activities (not Taxonomy-aligned activities)
EL;N/EL EL;N/EL EL;N/EL EL;N/EL EL;N/EL EL;N/EL
0 0% 0% 0% 0% 0% 0% 0% 0%
0 0%
0% 0% 0% 0% 0% 0% 0%
B. TAXONOMY-NON- ELIGIBLE ACTIVITIES
11.204 100%
11.204 100%
CapEx of Taxonomy non-eligible
activities
TOTAL
Category
transitional
activity (20)
CapEx of Environmentally sustainable
Of which enabling
Of which transitional
CapEx of Taxonomy-eligible but not
Environmentally sustainable activities
(not Taxonomy-aligned) (A.2)
Proportion of
Taxonomy-
aligned (A.1.) or
eligible (A.2.)
CapEx, year 2022
(18)
Category –
enabling
activity (19)
Α. CapEx of Taxonomy-eligible activities
(A.1+A.2)
Year
Substantial contribution criteria
DNSH Criteria ("Does Not Significantly Harm")
Minimum
safeguards (17)
OpEx ΚΡI
Financial Year 2023
Economic activity (1) Code (2) OpEx (3)
Proportion of
OpEx, year 2023
(4)
Climate
change
Mitigation (5)
Climate
change
Adaptation (6)
Water (7) Pollution (8)
Circular
economy (9)
Biodiversity (10)
Climate
change
Mitigation (11)
Climate
change
Adaptation (12)
Water (13) Pollution (14)
Ciroular
economy (15)
Biodiversity (16)
Text
€000 % Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y; N; N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N % Ε T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable actitivities (taxonomy-aligned )
0 0% 0% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y %
0
0% 0% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y % Ε
0
0% 0% Y Y Y Y Y Y Y % T
Α.2 Taxonomy - eligible but not Environmentally sustainable activities (not Taxonomy-aligned activities)
EL;N/EL EL;N/EL EL;N/EL EL;N/EL EL;N/EL EL;N/EL
0 0% 0% 0% 0% 0% 0% 0% 0%
0 0% 0% 0% 0% 0% 0% 0% 0%
B. TAXONOMY-NON- ELIGIBLE ACTIVITIES
541 100%
541 100%
Α. OpEx of Taxonomy-eligible activities
OpEx of Taxonomy non-eligible activities
TOTAL
Category
transitional
activity (20)
OpEx of Environmentally sustainable activities
Of which enabling
OpEx of Taxonomy-eligible but not
Proportion of
Taxonomy-
aligned (A.1.)
or eligible (A.2.)
OpEx, year 2022
(18)
Category –
enabling
activity (19)
Year
Substantial contribution criteria
DNSH Criteria ("Does Not Significantly Harm")
Minimum
safeguards (17)
Of which transitional
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Turnover KPI
Taxonomically aligned economic activities
Turnover rate/ Total turnover
Taxonomy
Aligned by
target
Taxonomy
Eligible by
target
CCM
0%
17%
CCA
0%
0%
WTR
0%
0%
CE
0%
0%
PPC
0%
0%
BIO
0%
0%
CapEx KPI
Taxonomically aligned economic activities
Proportion CapEx /Total CapEx
Taxonomy
Aligned by
target
Taxonomy Eligible
by target
CCM
0%
0%
CCA
0%
0%
WTR
0%
0%
CE
0%
0%
PPC
0%
0%
BIO
0%
0%
OpEx KPI
Taxonomically aligned economic activities
Proportion of OpEx /Total OpEx
Taxonomy
Aligned by
target
Taxonomy
Eligible by
target
CCM
0%
0%
CCA
0%
0%
WTR
0%
0%
CE
0%
0%
PPC
0%
0%
BIO
0%
0%
(1) Abbreviations of the relevant objective to which the economic activity is eligible to make a
significant contribution, as well as the section number of the activity in the relevant annex
covering the objective, namely:
— Climate change mitigation: CCM
—Climate change Adaptation: CCA
— Water and marine resources: WTR
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— Circular economy: CE
— Prevention and control of pollution: PPC
— Biodiversity and ecosystems: BIO
(2) Y — Yes, activity Taxonomy eligible and Taxonomy aligned with the relevant environmental
objective
N — No, activity Taxonomy eligible but not Taxonomy aligned with the relevant environmental
objective
N/EL — Activity Taxonomy ineligible with the relevant environmental objective.
(3) When an economic activity contributes significantly to multiple environmental objectives,
non-financial enterprises shall state, in bold, the most relevant environmental objective for the
calculation of the financial enterprises' GEF and, at the same time, to avoid double counting.
In their respective EIAs, when the use of financing proceeds is not known, financial enterprises
count the financing of economic activities that contribute to multiple environmental objectives
under the most relevant environmental objective reported in bold by non-financial enterprises
in the present example. An environmental objective may be stated in bold type only once per
line to avoid double counting of economic activities in financial firms' BIDs. This does not apply
to the calculation of alignment with the taxonomy of economic activities for financial products
specified in Article 2 point 12) of Regulation (EU) 2019/2088. Non-financial corporations also
report the degree of eligibility and alignment by environmental objective, which includes
alignment with each of the environmental objectives for activities that contribute significantly
to various objectives.
(4) The same activity can only be aligned with one or more environmental objectives for which
it is eligible.
(5) The same activity may be eligible and not aligned with the relevant environmental
objectives.
(6) EL — Activity Taxonomy eligible with the relevant objective
N/EL — Activity Taxonomy ineligible with the relevant objective.
(7) Activities are referred to in section A.2 of this template only if they do not align with any
environmental objective for which they are eligible. Activities aligned with at least one
environmental objective are listed in section A.1 of this template.
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(8) For each activity referred to in section A.1, all criteria of not causing significant harm and
minimum safeguards must be met. For the activities listed in A2, columns 5 to 17 may be
optionally completed by non-financial corporations. Non-financial enterprises may report the
significant contribution and non-significant harm criteria that they meet or do not meet in
section A.2 using: a) for significant contribution — the codes Y/N and N/EL instead of EL and N
/EL and b) for not causing significant damage — the Y/O codes.
2.9 GOING CONCERN
The management of the Group estimates that the Company and the Group have sufficient
resources that ensure the smooth continuation of their operation as a "Going Concern" in the
foreseeable future.
2.10 CORPORATE GOVERNANCE STATEMENT
1. The Entity’s Corporate Governance Code.
The Company (hereinafter "the Company"), as a public limited company with securities listed
on the Athens Stock Exchange, complies with the applicable legal framework, including Law
4706/2020 on corporate governance. Pursuant to Law 4706/2020 and decision 2/905 / 3.3.2021
of the board of directors of the Hellenic Capital Market Commission, the Company has
adopted the Hellenic Corporate Governance Code for companies with securities listed on the
stock market, which was issued in June 2021 by the Hellenic Corporate Governance Council
("ESED").
This corporate governance statement (hereinafter "Statement") is prepared in accordance with
Law 4548/2018, Articles 1-24 of Law 4760/2020 and the Hellenic Corporate Governance Code
of the ECHR (hereinafter "KED"), and has the following content:
A. Declaration of Compliance with the Corporate Governance Code ("KED").
B. Deviations from the Corporate Governance Code ("KED") - Justification.
C. Board of Directors - Eligibility policy of the members of the Board of Directors - Committees
D. General Meeting - Shareholders' rights.
E. Internal control system - Risk management procedures.
F. Diversity policy.
G. Related party transactions.
A. Declaration of compliance with the Corporate Governance Code ("KED")
The Company has adopted the Hellenic Corporate Governance Code of the Hellenic
Corporate Governance Council ("KED") for companies with securities listed on the stock market,
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except for the discrepancies explained in the corresponding section (Deviations from the
Corporate Governance Code) "( Justification).
The Corporate Governance Code is posted on the Company's website:
https://www.space.gr/el/corporate-governance-code.
B. Deviations from the Corporate Governance Code - Justification.
The Company has adopted the Corporate Governance Code of the Hellenic Corporate
Governance Council ("KED") and complies with its practices with the following deviations,
taking into account the characteristics, structure and size of the Company and the market in
which it operates, for which explanation is provided
PART A - BOARD OF DIRECTORS
1. FIRST UNIT - ROLE AND RESPONSIBILITIES OF THE BOARD OF DIRECTORS
In this section and regarding the mandatory provisions, the framework of Law 4548/2018 is
mentioned and especially of articles 86 par. 1, 87 par. 3, 96 par. 1, 4 par. 1 and par. 2 thereof
and regarding the provisions on the responsibilities of the board of directors, the qualities and
the division of responsibilities both at the stage of establishment of the company and later
(different distribution of qualities between the members of the board of directors), the
obligations of the members of the board of directors and third parties in which powers may be
delegated by the board of directors and in connection with the corporate interest and the
obligations of supervising the decisions of the board of directors and informing its other
members about the corporate affairs, the definition and supervision of the corporate
governance system and its evaluation ( periodically every three {3} financial years) in terms of
its implementation and effectiveness, with appropriate action and ensuring the adequacy and
effectiveness of the Company's internal control system.
The section also includes SPECIAL PRACTICES with no. 1.6. - 1.9. and 1.10. - 1.17 in which the
Company complies with the following differences - explanations taking into account the
structure of the Company's management and its representation in accordance with the
delegation of responsibilities announced in the General Commercial Register (GEMI), i.e. the
representation by four executive members of the board separately with the right to sign up to
one transaction limit and beyond this limit with the right to sign the executive chairman of the
board and one of the remaining four executive members (i.e. two signatures) or a special
decision of the board. The peculiarities of the market in which the Company operates are also
taken into account, i.e. the information and communication technologies that are constantly
evolving with the constant changes in the digital environment through the evolution of
technology and the needs in technology on an ongoing basis.
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In this context and with regard to SPECIAL PRACTICE no. 1.9. The Company formulates the
conflict of interest policy in the internal operating regulations that it has prepared in
accordance with the applicable provisions and in compliance with the legislation on corporate
governance. In this way, a practice is formed within the operating regulations for the purpose
of transparency and information and the stable structure of corporate governance in the
corporate environment. In the context of the corporate operation, the evaluation of these
practices is done as part of the periodic (at least after the end of each corporate year)
examination of the regulations of the internal operating regulations to ensure their effectiveness
by the competent departments of the Company by making suggestions to management.
Board of the Company.
The responsibilities of the CEO of the Company and of any Deputy Chief Executive Officer
(SPECIAL PRACTICE 1.11.) Are defined in terms of his capacity as an executive member of the
board of directors and as a description in the internal operating regulations of the Company.
Regarding the SPECIFIC PRACTICE 1.13., and as part of the market in which the company
operates and the constant changes in the digital environment that requires constant
monitoring of developments and changes in technology that affect their commercial
management by the Company, the board meets regularly in the context of corporate
governance and transparency service, with the presence of its non-executive members. In the
context of the meeting of the board of directors for the discussion regarding the
recommendation of the board of directors to the annual regular general meeting of the
Company shareholders, a discussion is held for the actions of the board of directors and
opinions are expressed regarding the evaluation of the board performance of its members as
well as proposals for the next fiscal year, with an interactive discussion, without requiring the
special meeting of the non-executive members, which in terms of the corporate environment
are part of the structure of the operation of the board and the necessity of decision-making
through exchange of views by all members, briefing and interactive discussion. The evaluation
of the members of the board of directors is foreseen as a procedure (regular and extraordinary)
in the suitability policy of the members of the board of directors.
At the same time, regarding the corporate structure and the peculiarities of the market in which
the Company operates, as explained above, the approach followed regarding the operation
of the board of directors is its inclusion in the internal operating regulations in compliance with
the articles of association, mandatory provisions. of the law and the holding of meetings with
the aim of holding continuous meetings with the participation of all its members, transparency,
information and interactive discussion in order to serve the interests of the Company in the
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constantly evolving environment of information and communication at a digital level
(explanation with regard to SPECIAL PRACTICES 1.15., 1.16. and 1.17.).
2. SECOND SECTION - SIZE AND COMPOSITION OF THE BOARD OF DIRECTORS.
The section includes sub-sections with individual mandatory provisions per chapter. Specifically,
mandatory provisions are provided per subsection for: 2.1.) The size of the board of directors,
2.2.) The composition of the board of directors, 2.3.) The succession of the board of directors
and 2.4.) The salaries of the members of the board of directors with reference to individual
provisions of Law 4706/2020, of Law 4548/2018 and in the circular 60 / 18.9.2020 of the Hellenic
Capital Market Commission for the suitability policy of the members of the Board of Directors.
Subsections 2.2.) To 2.4.) Respectively include specific practices for compliance or explanation,
namely: 2.2.) Composition of the board: the specific practices 2.2.13. - 2.2.18. and 2.2.21. -
2.2.23., 2.3.) Succession of the board of directors: the special practices 2.3.1. - 2.3.4. and 2.3.7. -
2.3.9. and 2.3.10. - 2.3.12. and 2.4.) remuneration of board members: specific practices 2.4.7. -
2.4.9. and 2.4.11. - 2.4.14.
A. Regarding subsection 2.2.) For the composition of the board of directors:
The company has a suitability policy in accordance with the provisions of law 4706/2020 and
circular no. 60 / 18-09-2020 of the Hellenic Capital Market Commission, which also includes a
section on diversity policy and criteria. Taking into account the changing market environment
of information technology and communication technologies with the continuous
developments in the labor market and employment in the digital ecosystem environment, the
Company consistently implements a long-term strategy that focuses on fundamental priorities
such as finding and retaining talent. their growth and employment prospects in a dynamic
environment. The permanent goal is to attract competent and qualified staff, the fulfillment of
their expectations and their continuous professional development, in response to the high goals
and the dynamics of the market.
In this context it is explained in terms of SPECIAL PRACTICES 2.2.13., 2.2.14. and 2.2.15. that the
Company's diversity policy which is included in the suitability policy implements adequate
representation by gender in accordance with applicable law and the quota obligation is met,
while not limited to representation by gender but also in other criteria, while in terms of
maximum and senior managers also take into account diversity criteria, such as gender in
combination with various factors in the work environment of the specific market and, if
necessary, taking into account the environment as it is formed, discuss objectives. The selection
criteria of the members of the board of directors are included in the suitability policy as it is
formulated and concerns both individual and collective suitability, taking into account the
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environment, social responsibility and corporate governance, and for this reason, it is not
necessary to formulate another special strategy framework. However, if this is required, taking
into account the specifics of the market as presented above, the case of formulating a special
strategy is also examined (SPECIAL PRACTICE 2.2.16.). The eligibility policy includes a special
section for allocating sufficient time for board members to be able to perform their duties, and
the time required is determined based on the description of the position, the role and the duties
of each member and the role and responsibilities assigned to each member of the board, the
number of positions of each member as a member of other boards and the resulting qualities
held by that member at the same time, as well as other professional or personal commitments
and conditions. Therefore, there are no special restrictions on the number of positions held as
members of the Board of Directors of the Company in other unrelated public limited
companies, in addition to those provided for the conflict of interest, but the restrictions are
limited on a case by case basis and taking into account the specific conditions of the specific
market in combination with the possibility of using electronic means in terms of time
management in the digital technology environment in which the Company operates (SPECIAL
PRACTICE 2.2.17.). The Company has an executive member of the board of directors as
Chairman. Regarding the non-executive members of the board of directors and taking into
account that the corporate governance environment was formed very recently with law
4706/2020, the Company examines on a case-by-case basis and taking into account the
conditions of the IT and communications market, the suggestion for criteria prohibiting the
participation of non-executive members of the board of directors in the boards of directors of
more listed companies, from a number and above and if approved will be the subject of the
corporate governance statement of the next corporate year. In any case, the prohibitions
regarding the conflict of interests apply (SPECIAL PRACTICE 2.2.18.).
For the company's strategy in the changing environment of digital transformation and
ecosystem required, the Chairman of the Board of Directors of the Company is selected to be
an executive member with duties and responsibilities decided within the delegation of
responsibilities by the board and described in its rules of procedure. Company. The Executive
Chairman is replaced in his duties by executive members as defined in the Articles of
Association of the Company and/or in the minutes of the Board of Directors of the Company,
related to the assignment of responsibilities (SPECIAL PRACTICES 2.2.21. - 2.2.23.)
B. Regarding subsection 2.3.) For the succession of the board of directors:
The suitability policy of the members of the Board of Directors of the Company includes a report
on the appropriate succession plan of the members of the Board of Directors, the smooth
continuation of the management of the Company's affairs and decision-making after
resignations of members of the Board of Directors, especially executive and board members.
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The succession plan is decided by the board of directors after the recommendation of the
competent bodies in the application of the rules for corporate governance, taking into
account the individual and collective suitability and the special conditions of the IT and
communications market in the ever-changing digital transformation and ecosystem
environment. the Company is active. In this context is included the succession of the CEO of
the Company, who is an executive member of the board of directors (SPECIAL PRACTICES 2.3.1.
- 2.3.4.).
The Company operates a single committee of remuneration and nominations in accordance
with the applicable provisions with specific duties and responsibilities, especially regarding the
selection of members of the Board of Directors of the Company, in accordance with its
operating regulations, the Company's internal operating regulations and applicable law. The
Company does not have subsidiaries with shares listed on regulated markets, and it is not
considered necessary for the Company's subsidiaries to have a nomination committee, taking
into account the special market conditions that are constantly changing as well as their size in
relation to the Company. The term of office of the remuneration and nominations committee
coincides with the term of the board of directors, without being required to exceed that of the
board of Directors, while the renewal of its term of office is decided by the Board of directors of
the Company (SPECIAL PRACTICES 2.3.7. - 2.3.9., 2.3.10. - 2.3.12.).
C. Regarding subsection 2.4.) For the remuneration of the members of the board of directors:
The Company has a remuneration policy in accordance with the provisions of Law 4548/2018
(article 110). The remuneration policy is based on the promotion of creative performance in
combination with the combination of the Company's goals with the goals of stakeholders and
motivates the members of the board to act in order to maximize the long-term financial value
of the Company and the optimal of corporate interest. The principles of corporate governance
are taken into account, the distinction of members into executive and non-executive (and
independent non-executive) according to the current legislation, corporate social
responsibility. The remuneration policy is drafted following a recommendation made by an
independent member of the Company's Board of Directors with the assistance of the
Company's Chief Financial Officer, Human Resources Officer and Legal Adviser, and its review,
revision and implementation require the same procedure. The decision is taken by the board
of directors in a special meeting in which the above persons are also present in order to avoid
conflict of interests. The remuneration policy is submitted for approval to the general meeting
of the Company's shareholders and has a duration of four (4) years from its approval. For the
remuneration of the executive members of the Board of Directors of the Company there are
special provisions and special calculation factors in the remuneration policy of the Company.
The executive members of the Board of Directors of the Company are the senior executives of
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the Company. Total remuneration includes fixed and variable parts to ensure that remuneration
is linked to short-term and long-term business efficiency. For executive members, remuneration
policy covers fixed remuneration for executive members of a fixed-term or indefinite
employment relationship. time or service contract, respectively, and variable remuneration to
reward performance. Fixed salaries are competitive so that it is possible to attract and retain
people who have the appropriate skills, abilities and experience that the Company needs.
Maintaining competitiveness is ensured by monitoring the remuneration levels in the Company's
sector of activity at the Greek and/or European level through relevant surveys. Along with the
assessment of the severity of the position, the academic background, previous experience and
talent are taken into account in order to determine the level of fixed salaries. Fixed earnings are
the highest percentage of total earnings. The Company rewards performance based on
predetermined measurable, quantitative and qualitative, both short-term and long-term goals.
The variable salaries are related to the performance of the individual, the management where
he may be employed, but also to the Company and the group itself. Achieving the goals at
the above levels is a key component of the Company's culture, which is oriented towards
efficiency in combination with a healthy and sustainable working environment. The amount of
variable remuneration given depends on performance on a number of quantitative and
qualitative criteria, namely financial results, economic indicators, retention of high-potential
employees, social responsibility, and adaptation to ever-changing technological
developments in the IT and communications technology sector. (ICT). The objectives are set
each year depending on the annual budget and business plan of the company, taking into
account the annual budget and business plan of the group. Criteria are profitability, cost versus
revenue management, market conditions at home, European and international. Qualitative
criteria are also taken into account, namely effectiveness and goal orientation, business
initiative, influence and persuasiveness, judgment and creativity, change management and
flexibility, networking, management and development of individuals. The quantitative criteria
are determined according to the role that each member has undertaken in the Company
(does not concern the independent non-executive members). The amount of variable
remuneration is calculated in the first quarter of the following year of each fiscal year and once
the evaluation of the set objectives has been completed, taking into account the current
economic environment and the prevailing market conditions.
C. Regarding subsection 2.4.) For the remuneration of the members of the board of directors:
The Company has a remuneration policy in accordance with the provisions of Law 4548/2018
(article 110). The remuneration policy is based on the promotion of creative performance in
combination with the combination of the Company's goals with the goals of stakeholders and
motivates the members of the board to act in order to maximize the long-term financial value
of the Company and the optimal of corporate interest. The principles of corporate governance
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are taken into account, the distinction of members into executive and non-executive (and
independent non-executive) according to the current legislation, corporate social
responsibility. The remuneration policy is drafted following a recommendation made by an
independent member of the Company's Board of Directors with the assistance of the
Company's Chief Financial Officer, Human Resources Officer and Legal Adviser, and its review,
revision and implementation require the same procedure. The decision is taken by the board
of directors in a special meeting in which the above persons are also present in order to avoid
conflict of interests. The remuneration policy is submitted for approval to the general meeting
of the Company's shareholders and has a duration of four (4) years from its approval. For the
remuneration of the executive members of the Board of Directors of the Company there are
special provisions and special calculation factors in the remuneration policy of the Company.
The executive members of the Board of Directors of the Company are the senior executives of
the Company. Total remuneration includes fixed and variable parts to ensure that remuneration
is linked to short-term and long-term business efficiency. For executive members, remuneration
policy covers fixed remuneration for executive members of a fixed-term or indefinite
employment relationship. time or service contract, respectively, and variable remuneration to
reward performance. Fixed salaries are competitive so that it is possible to attract and retain
people who have the appropriate skills, abilities and experience that the Company needs.
Maintaining competitiveness is ensured by monitoring the remuneration levels in the Company's
sector of activity at the Greek and/or European level through relevant surveys. Along with the
assessment of the severity of the position, the academic background, previous experience and
talent are taken into account in order to determine the level of fixed salaries. Fixed earnings are
the highest percentage of total earnings. The Company rewards performance based on
predetermined measurable, quantitative and qualitative, both short-term and long-term goals.
The variable salaries are related to the performance of the individual, the management where
he may be employed, but also to the Company and the group itself. Achieving the goals at
the above levels is a key component of the Company's culture, which is oriented towards
efficiency in combination with a healthy and sustainable working environment. The amount of
variable remuneration given depends on performance on a number of quantitative and
qualitative criteria, namely financial results, economic indicators, retention of high-potential
employees, social responsibility, and adaptation to ever-changing technological
developments in the IT and communications technology sector. (ICT). The objectives are set
each year depending on the annual budget and business plan of the company, taking into
account the annual budget and business plan of the group. Criteria are profitability, cost versus
revenue management, market conditions at home, European and international. Qualitative
criteria are also taken into account, namely effectiveness and goal orientation, business
initiative, influence and persuasiveness, judgment and creativity, change management and
flexibility, networking, management and development of individuals. The quantitative criteria
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are determined according to the role that each member has undertaken in the Company
(does not concern the independent non-executive members). The amount of variable
remuneration is calculated in the first quarter of the following year of each fiscal year and once
the evaluation of the set objectives has been completed, taking into account the current
economic environment and the prevailing market conditions.
The percentages of variable remuneration are recorded as a percentage of fixed
remuneration. Depending on the achievement of its quantitative and qualitative objectives,
the Company decides to distribute variable remuneration equal to a percentage of the total
annual fixed remuneration. In each individual case, the variable remuneration does not exceed
100% of the annual fixed remuneration. The payment of variable salaries aims to mobilize
towards the achievement of corporate goals and maintain the competitiveness of the
Company. The remuneration report includes a special section for the total remuneration of the
members of the board of directors paid in the annual financial year and a table with the fixed
remuneration, the variable remuneration and the remuneration of the meetings of the board
of directors and by category and in total. The audit committees and remuneration &
nominations are committees of the board of directors, and no additional remuneration is paid
(SPECIAL PRACTICES 2.4.3., 2.4.4., 2.4.5.).
The Joint Remuneration and Nominations Committee, which is a board of directors, consists of
non-executive and independent non-executive members. The Chairman of the Board of
Directors of the Company is an executive member. The committee has been established in
accordance with the provisions of law 4706/2020, and its term is recent. The Chairman of the
remuneration and nominations committee is elected by the Board of Directors of the Company
by evaluation of educational and professional qualifications, without being limited to his
previous term in the committee at least as a member (SPECIAL PRACTICE 2.4.7.).
Its responsibilities are defined by Law 4706/2020 (articles 11 and 12, respectively) and in its
operating regulations and are included in the internal operating regulations of the Company.
Pursuant to articles 109 to 112 of Law 4548/2018, the remuneration and candidacy committee:
a) makes proposals to the Board of Directors of the Company regarding the remuneration
policy submitted for approval at the general meeting, in accordance with paragraph 2 of
article 110 of Law 4548/2018, b) formulates proposals to the Board of Directors of the Company
regarding the remuneration of persons falling within the scope of the remuneration policy, in
accordance with Article 110 of Law 4548/2018, and regarding remuneration of the main
executives of the Company, in particular the head of the internal control unit, c) examines the
information included in the final draft of the annual salary report, providing its opinion to the
Board of Directors of the Company, before submitting the report to the general meeting , in
accordance with article 112 of law 4548/2018, d) identifies and proposes to the board of
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directors of the Company persons suitable for the acquisition of the status of the member of the
board of directors, based on a procedure provided in its operating regulations, in accordance
with the factors and criteria determined by the Company and the suitability policy it adopts.
The remuneration and nomination committee uses any resources it deems appropriate to fulfil
its purposes, including services by external consultants and submits to the board of directors for
incorporation in the corporate governance statement of the Company a report describing its
work and mentioning the number of meetings during the year (SPECIAL PRACTICES 2.4.8. and
2.4.9.).
The term of office of the remuneration and nominations committee coincides with the term of
office of the board of directors, without being required to exceed that of the Board of Directors,
while the renewal of its term of office is decided by the board of Directors of the Company.
According to the rules of procedure of the committee, the committee uses any resources it
deems appropriate for the fulfilment of its purposes, including services by external consultants.
In the latter case, the assignment of the services to an external consultant, as well as the amount
of the external consultant's fee for the services he will provide to the Company, must have been
previously approved by a decision of the Board of Directors of the Company which ratifies the
relevant proposal submitted to it by the committee. The committee, before submitting a
proposal to the board for the outsourcing of services from an external consultant, has
adequately studied the offers and has evaluated the candidates for external consultants. After
the approval of the assignment by the board of directors, the committee is responsible for
monitoring and coordinating the work of the external consultant, while it must inform the Board
of Directors of the company of any event related to the assignment that is, at its discretion. of
the committee, essential. The Remuneration and Nominations Committee is a board of directors
and is responsible for remuneration, making recommendations to the board on remuneration
policy, for remuneration of persons falling within the scope of remuneration policy, and for
remuneration. Company's executives, in particular, the head of the internal control unit and for
the examination of information obtained in the final draft of the annual salary report, providing
an opinion to the board of directors before submitting the report to the general meeting of the
Company shareholders in accordance with article 112 of Law 4548/2018 (SPECIAL PRACTICE
2.4.11. And 2.4.12.).
SPECIFIC PRACTICE 2.4.13.: The maturation of the options of the executive members of the Board
of Directors of the Company is examined by the Board of Directors of the Company if deemed
necessary and after a suggestion of the competent bodies, as appropriate and taking into
account the factors in the IT and communications market and in the environment of digital
transformation and digital ecosystems in which the Company operates.
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The responsibility of the members of the board of directors of the Company is defined in article
102 of law 4548/2018 (SPECIAL PRACTICE 2.4.14.).
3. THIRD UNIT - FUNCTIONING OF THE BOARD OF DIRECTORS.
The section includes sub-sections with individual mandatory provisions per chapter. Specifically,
mandatory provisions are provided per subsection for 3.1.) The Chairman of the Board of
Directors, 3.2.) The Corporate Secretary and 3.3.) The evaluation of the Board of Directors / CEO
succession of the Board of Directors and 2.4.) The remuneration of the members of the Board of
Directors with reference to individual provisions of law 4548/2018 (article 89 par. 1 and par. 3,
circular 60 / 18.9.2020 of the Hellenic Capital Market Commission on the suitability policy of the
members of the board of directors and law 4706/2020 (article 3 par. 1 and par. 3).
The above subsections also include specific practices for compliance or explanation, namely:
3.1.) Chairman of the Board: the specific practices 3.1.3. - 3.1.5., 3.2.) Corporate secretary:
special practices 3.2.1. - 3.2.2. and 3.3.) Evaluation of the board of directors/managing director:
the specific practices: 3.3.1. - 3.3.5., 3.3.7. - 3.3.9., 3.3.10. - 3.3.16.
A. Regarding subsection 3.1.) For the Chairman of the Board:
The Chairman of the Board of Directors is an executive member and in his duties reference is
made to the internal operating regulations of the Company. Regarding SPECIFIC PRACTICE
3.1.3. It is explained that the Chairman of the Board of Directors leads the management of the
Company, is in charge according to the organization chart of all the Company's managements
and in collaboration with the CEO implements the Group's strategy. Convenes the meeting of
the board of directors, determines the items on the agenda, chairs the meetings of the board
of directors and cooperates with the managing director to ensure the implementation of the
decisions of the board of directors, while overseeing the information and support to the board
members board. The shareholder service unit and corporate announcements are responsible
for the immediate, accurate and equal information of the shareholders, as well as for their
service regarding the exercise of their rights based on the law and the Articles of Association of
the Company. Relevant description for the structure and the object of the shareholder service
unit and corporate announcements is included in the internal operating regulations of the
Company (SPECIAL PRACTICE 3.1.4.).
B. Regarding subsection 3.3.) For the evaluation of the board of directors / managing director:
In accordance with the suitability policy of the members of the Board of Directors of the
Company, the Company continuously monitors the suitability of the members of the Board of
Directors (individual and collective) both at regular level (regular evaluation) and
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extraordinarily. According to the rules of procedure of the Remuneration and Nomination
Committee, the committee uses any resources it deems appropriate to fulfill its purposes,
including services by external consultants. In the latter case, the assignment of the services to
an external consultant as well as the amount of the external consultant's fee for the services he
will provide to the Company, must have been previously approved by a decision of the Board
of Directors of the Company which ratifies the relevant proposal submitted to it by the
committee. The committee, before submitting a proposal to the board for the outsourcing of
services from an external consultant, has adequately studied the offers and has evaluated the
candidates for external consultants. After the approval of the assignment by the board of
directors, the committee is responsible for monitoring and coordinating the work of the external
consultant, while it must inform the Board of Directors of the company for any event related to
the assignment that is, at its discretion. of the committee, essential. The remuneration and
nominations committee of the Company is responsible, in terms of nominations, for finding
suitable persons for the acquisition of the status of member of the board of directors based on
the selection procedure provided in its regulations (SPECIAL PRACTICE 3.3.3. - 3.3.6 .).
The suitability policy is prepared and approved by the Board of Directors of the Company and
then submitted for approval to the general meeting of shareholders of the Company and
posted on the Company's website. Amendments to the eligibility policy shall be approved by
the Governing Board and, if relevant, shall be submitted to the General Assembly for approval.
The nomination committee, the internal control unit, as well as the organizational units related
to the subject (such as human resources and / or the legal service) can provide an effective
contribution in shaping and monitoring the suitability policy. In accordance with the Company's
Rules of Procedure and the Rules of Procedure of the Remuneration and Nominations
Committee, the committee, with regard to the nominations, has the responsibilities of finding
suitable persons to acquire the status of a member of the Board of Directors based on the
selection procedure of Article 2. of the regulation of the committee and taking into account
the criteria provided in the Company's suitability policy. In accordance with the suitability policy
of the members of the Board of Directors of the Company, the individual and collective
suitability is evaluated and in this context the Company continuously monitors the suitability of
the members of the Board of Directors, especially to identify, in the light of any new event, which
it is deemed necessary to re-evaluate their suitability. In addition to the above regular
assessment of the suitability of the members of the Board of Directors, the suitability of a member
or members thereof shall be assessed on an ad hoc basis, in particular in the following cases:
(b) in the event of a significant effect on the reputation of a member of the Management
Board; interests of the Company. Monitoring the implementation of the suitability policy is the
responsibility of the Board of Directors of the Company. This process is assisted by the Company's
internal control unit, the nominations committee and the secretary of the board of directors,
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where appropriate. The annual corporate governance statement of the Company includes a
relevant report (SPECIAL PRACTICE 3.3.7 - 3.3.10.). The participation of the members in the
meetings of the board of directors is active. Publication of details in the corporate governance
statement is not required. The remuneration report of the board of directors (article 112 L.
4548/2018) provides a table for the total remuneration paid to the board of directors and
includes the remuneration of the meetings of the members of the board of directors according
to the remuneration policy, per member and aggregate ( SPECIAL PRACTICE 3.3.11.).
The evaluation of the managing director, executive member of the board of directors, as well
as the other members of the board of directors is done in the context of the meeting of the
board of directors for the discussion on the recommendation of the board of directors to the
annual general meeting of the Company shareholders, interactive discussion. The remuneration
of the managing director is determined in accordance with the remuneration policy (SPECIAL
PRACTICE 3.3.12.).
In accordance with the suitability policy of the members of the Board of Directors of the
Company, the candidate members of the Board of Directors, before taking office, are informed
about the culture, values and general strategy of the Company and the principles of corporate
governance, so that they know as much as possible. Also, all members of the board of directors
are informed during their term of office by the secretary of the board of directors on matters
concerning the Company (SPECIAL PRACTICE 3.3.13.).
The evaluation of the committees of the Company is done by the members of the Committees
with an interactive discussion (SPECIAL PRACTICE 3.3.14.)
In the context of the meeting of the board of directors for the discussion regarding the
recommendation of the board of directors to the annual regular general meeting of the
Company shareholders, a discussion is held for the actions of the board of directors and
opinions are expressed regarding the evaluation of the board performance of its members as
well as proposals for the next fiscal year, with an interactive discussion, without requiring the
special meeting of the non-executive members, which in terms of the corporate environment
are part of the structure of the operation of the board and the necessity of decision-making
through exchange of views by all members, briefing and interactive discussion. The evaluation
of the members of the board of directors is foreseen as a procedure (regular and extraordinary)
in the suitability policy of the members of the board of directors. As part of the process and
because the Company's committees are committees of the board of directors, the corporate
governance statement does not include a brief description of the individual and collective
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evaluation process of the board of directors, committees, and a summary of any findings and
corrective actions. ((SPECIAL PRACTICES 3.3.15. - 3.3.16.).
PART B - CORPORATE INTEREST
4. FOURTH UNIT - OBLIGATION OF FAITH AND CARE.
This section includes the mandatory provisions of Article 96 par. 1 of law 4548/2018 and article
5 par. 3 of law 4706/2020. Specific practices for compliance or explanation are also mentioned
for which the following explanations are given:
In accordance with the policy of suitability of the members of the Board of Directors of the
Company, all members of the Board of Directors actively participate in the meetings and make
their own correct, objective and independent decisions and judgments in the performance of
their duties, taking into account suggestions or opinions. independent bodies or committees
that operate in the Company in accordance with the law and are formulated, if required, in
the meetings of the board of directors (SPECIAL PRACTICE 4.3.). The members of the board of
directors ensure that they are not absent from the meetings without a justified reason (SPECIAL
PRACTICE 4.4.). According to the eligibility policy, all actual and potential conflicts of interest at
the board level are adequately communicated, discussed, documented, decided upon and
properly managed (ie, the necessary measures to reduce conflicts of interest are taken). Other
professional commitments of the members of the board of directors (including significant non-
executive commitments in companies and non-profit institutions) are evaluated after their
notification in the evaluation process of the candidate members and henceforth in the
evaluation of the board of directors, according to the policy. SPECIAL PRACTICE 4.5.).
5. FIFTH MODULE - SUSTAINABILITY.
The promotion of the corporate interest and the competitiveness of the company is part of the
special conditions of the market of information and communication technologies in which the
Company operates and in the constantly changing environment of digital ecosystems and is
therefore connected with many constantly changing factors and conditions and in domestic
European level (SPECIFIC PRACTICE 5.2.). The Company monitors the ESG information disclosure
guide of the Athens Stock Exchange, as in force, and in the context of the annual financial
report includes in the non-financial information and modules for its performance in matters of
environment, social activity and corporate governance, in relation to the AthexESG index and
if it meets the relevant criteria (SPECIAL PRACTICES 5.3., 5.7., 5.10.). The Company complies with
the legislation on corporate governance and complies in this context with its obligations
(SPECIAL PRACTICES 5.4. - 5.8.). The executive management of the Company is informed by its
competent bodies for the developments in the new technologies and in the environmental
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issues and for the procedures of integration of the changes in the corporate environment if
required and after formulation of a suggestion (SPECIAL PRACTICE 5.9.).
PART C - INTERNAL CONTROL SYSTEM
6. SIXTH MODULE - INTERNAL CONTROL SYSTEM.
This section includes mandatory provisions of Law 4706/2020 and in particular articles 2 par. 7, 4
par. 3, 13 par. 1a, 15 par. 1, 16 par. 1aa, of the decision of the Board of Directors of the Hellenic
Capital Market Commission 1 / 891 / 30.9.2020 and the circular 60 / 18.9.2020 of the Hellenic
Capital Market Commission. SPECIAL PRACTICES 6.8. and 6.9.are included for compliance or
explanation for which the following explanations are given:
Pursuant to the new Rules of Operation of the Internal Audit Unit, the Internal Audit System
includes the above, and refers to them and complies with the Decision of the Hellenic Capital
Market Commission with No. A. 1/891 / 30.09.2020 (Government Gazette 4556 / 15.10.2020),
which specifies the provisions of case (j) of paragraph 3 and paragraph 4 of article 14 of Law
4706/2020, regarding the evaluation of the Internal Control System (IAC) and sets out the
obligation to develop an Internal Control System framework, which is that of the "Internal
Control System Integrated Framework" (Internal Control System Integrated Framework) and
proposed by the COSO Commission, referred to in point 68 of the KED issued by the Hellenic
Capital Market Commission.
The Control Environment is the component that sets the "tone" in the Company, ie the board of
directors - top management, at all levels of the Company as well as to any external partners, in
order to indicate the importance of integrity and ethics. ethical values - through their
instructions, actions and behavior - to support the functionality of the Internal Control System. In
case of deviation at any level of the Company, it sets procedures which will evaluate the
efficiency of individuals and working groups and will recognize these deviations compared to
the expected Rules of Operation.
The Control Environment is essentially the sum of many sub-elements that determine the overall
organization and the way of management and operation of the Company.
The review of the Control Environment includes in particular, the following:
Integrity, Ethics & Management Behavior: Examines whether a clear framework of integrity &
ethics governing board decisions has been developed and whether follow-up procedures are
in place to ensure that any discrepancies are identified and corrected. suitably.
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Organizational Structure: Examines whether the organizational structure of the Company
provides the framework for the planning, execution, control and supervision of corporate
operations through an organization chart for all its business units and operational activities
according to which the main areas of responsibility are delimited within the Company and the
appropriate reference lines are established, depending on the size of the Company and the
nature of its operations.
Board of Directors: Examines the structure, organization and mode of operation of the Board of
Directors and its committees: in particular as regards the following issues: of the composition of
the board of directors (e.g. size, suitability and diversity of the members of the board of directors,
etc.).
Corporate Responsibility: The operation of the top executive management is examined and
the way in which it establishes, under the supervision of the board of directors, the appropriate
structures, reference lines, areas of responsibility and competence to achieve the goals of the
Company.
Human Resources: The practices of recruitment, remuneration, training and evaluation of staff
performance are examined as an indication in order to demonstrate the commitment of
management to the principles of integrity, ethical values and cognitive competence of staff).
Therefore, similarly, point 69 of the SPECIAL PRACTICES has been provided for what it will include
and what it refers to in the Rules of Procedure of the Internal Audit, as updated.
In both SPECIAL PRACTICES, a relevant provision has been made since the update of the Rules
of Procedure of the Internal Audit, as the direction of the Capital Market is the COSO
Framework, which is clear and clearly defines the Internal Audit System.
PART D - SHAREHOLDERS, INTERESTED PARTIES
7. SEVENTH UNIT: GENERAL ASSEMBLY.
This section includes mandatory provisions of articles 116 and 113 par. 1 and par. 2 of law
4548/2018. Specific practices are included for which the following are explained:
The general meeting of the Company's shareholders is held in accordance with the applicable
provisions and in relation to the shareholders' rights and the minority rights and with the aim of
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128
serving its interests. The invitation to the general meeting includes the information required by
law 4548/2018 and is published in the manner provided by law for companies with shares listed
on the Athens Stock Exchange. To the extent that the shareholders' questions regarding the
issues of the agenda are not answered during the meeting of the general meeting, the
Company may request their submission in writing and reserve their answer after the end of the
meeting, always taking into account the rights. of minority shareholders, as defined in Law
4548/2018 (SPECIAL PRACTICES 7.4. - 7.6.).
8. EIGHTH UNIT: PARTICIPATION OF SHARHOLDERS.
This section includes the mandatory provisions of articles 13 par. 1c and 141 par. 6 of law
4548/2018 and special practices for which the following explanations are given:
The Company fulfills its obligations regarding the information of the shareholders and the access
to the information, without discrimination, taking into account the legislation for the protection
of personal data, for the privacy and in the direction of serving the interests of the Company.
All the information required by the current legislation in accordance with the current legislation
(both Law 4706/2020 and Law 4548/2018) is posted on the Company's website and there is a
special section "Investors" for the information of investors. The Company has also provided for
the direct communication of the shareholders with the shareholder service unit with the
possibility of sending an e-mail, in addition to the other means of communication. For the ways
of communication of the shareholders with the Company there is a special category in the
frequently asked questions in the section "Investors" on the website of the Company (SPECIAL
PRACTICES 8.3. - 8.5.).
9. NINTH MODULE: INTERESTED PARTIES.
In this section, there are no mandatory provisions, while there are special practices to comply
with or explain for which the following explanations are given: The Board of Directors is
responsible for deciding on any action concerning the management and representation of the
Company, the management of its assets and in the general pursuit of the business purpose of
the Company. In this context and taking into account the specific market conditions of
information technology and communication technologies in which the Company operates
and the ever-changing digital environment of digital ecosystems, the Company communicates
with its customers and suppliers, companies, scientific, educational and academic institutions,
media information on issues related to the Company's activities is done mainly through the use
of electronic media and social media, in a dynamic environment, while communication with
shareholders is provided specifically in the previous section (SPECIAL PRACTICES 9.1. and 9.2.).
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C. Board of Directors - Eligibility policy of the members of the Board of Directors - Committees.
C.1. Composition of the board of directors.
The board of directors, as the supreme governing body of the Company, is responsible for
deciding on any action concerning the management of the Company, the management of
its assets and the general pursuit of its purpose.
The Board of Directors that manages the Company has nine members and consists of five (5)
executive members, one (1) non-executive and three (3) independent non-executive
members.
The independent with executive members are not less than one-third (1/3) of the total number
of its members, and in any case, they are not less than two (2).
C. Board of Directors - Eligibility policy of the members of the Board of Directors - Committees.
C.1. Composition of the board of directors.
The board of directors, as the supreme governing body of the Company, is responsible for
deciding on any action concerning the management of the Company, the management of
its assets and the general pursuit of its purpose.
The Board of Directors that manages the Company has nine members and consists of five (5)
executive members, one (1) non-executive and three (3) independent non-executive
members.
The independent with executive members are not less than one-third (1/3) of the total number
of its members, and in any case, they are not less than two (2).
A different person is elected to the Board of Directors as Chairman and a different person as
CEO. The Chairman of the Board of Directors of the Company is its executive member, and in
compliance with Article 8 par. 2 of Law 4706/2020, the Board of Directors of the Company has
appointed a Vice Chairman from among its non-executive members.
The following is a table with the members of the Board of Directors from 01-01-2023 to 31-12-
2023, their status - as executive, non-executive or independent, as determined by the general
meeting or the board of directors - and the position of each member, the term of office of each
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member (including the expiration date) as well as information on the number of shares of the
Company held by each member of the board of directors (as at 31-12-2023):
Name
Position
Start of office(or re-
election date)
End of office
Number of
Shares
Spyridon D.
Manolopoulos
Chairman -
executive member
18/6/2020
10/9/2026
1.112.527
Panagiotis Chr.
Mpellos
Vice President –
Executive member
18/6/2020
10/9/2026
1.074.128
Ioannis A. Mertzanis
Chief Executive
Officer – Executive
member
18/6/2020
10/9/2026
127.806
Ioannis A. Doulaveris
Executive member
18/6/2020
10/9/2026
109.037
Anastasia K. Paparizou
Executive member
18/6/2020
10/9/2026
0
Theodoros N.
Chatzistamatiou
Vicepresident - Non
Exceutive member
18/6/2020
10/9/2026
30.796
Emmaouil I. Chatiras
Independent Non-
executive member
18/6/2020
10/9/2026
0
Anna S. Kalliani
Independent Non-
executive member
13/5/2021
10/9/2026
0
EIrinaios G. Theodorou
Independent Non-
executive member
10/10/2022
10/9/2026
(under the
condition of
validation of his
appointment by
the General
Assembly
0
Changes in the composition of the board of directors during the year 2023:
• In the year 2023, there were no changes in the composition of the board of directors.
• The general meeting of the Company's shareholders on 12.06.2023 (9th item on the
agenda) decided on the definitive assignment of the status of independent non-
executive member of the board of directors to Mr Eirinaios Theodorou (as subsequently
confirmed by the decision of 13.06.2023 of the Company's board of directors), who by
the decision of the board of directors dated 10.10.2022 had been appointed
temporarily until the next general meeting of its shareholders, as a new independent
non-executive member to replace the resigned independent non-executive member
Mr. Theodoros Gakis..
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Below are the CVs of the persons who were members of the Board of Directors during the
corporate year 2023, from which it appears that the Board of Directors of the Company has, at
the individual and collective level of its members, the knowledge, skills, experience and
experience required for the exercise of its responsibilities in accordance with the Company
appropriateness policy that entered into force in accordance with the applicable provisions,
including the achievement of adequate representation by gender, the business model and the
strategy of the Company. The CVs of the current members are also posted on the Company's
website: https://www.space.gr/el/team. It is clarified that apart from the members of the board
of directors, there are no other top managers according to IAS 24 (also related: MAR
Regulation) and therefore, the CVs and the number of shares only concern the members of the
company's board of directors (EK 20/03 /2023 "questions and answers").
It is noted that the board of directors with its decision of 23.04.2024, i.e. before the publication
of the company's annual financial report, in accordance with the provisions of article 9 par. 3
of Law 4706/2020, after reviewing the fulfillment of the criteria of independence in accordance
with article 9 par. 1 and 2 of Law 4706/2020 in the person of its independent non-executive
members, unanimously found that all independent non-executive members of the Company's
board of directors meet the independence criteria of article 9 par. 1 and 2 of Law 4706/2020
and for the financial year 1/1/2023 – 31/12/2023.
Spyridon Manolopoulos, Executive Chairman
Spyros D. Manolopoulos was born in Athens in 1976. He is a graduate of Douka Schools, a
graduate of the Law School of the National and Kapodistrian University of Athens and holds a
postgraduate degree in International Commercial Law (LL.M. London). (KCL) of the University
of London. His professional activity began in the law firm "Fortsakis, Diakopoulos, Mylonogiannis
and Associates" as a practicing lawyer. He then practised law, maintaining a private law firm
and as a business legal consultant, gaining experience mainly in commercial law and public
procurement. He worked as a legal advisor at the Space Hellas group from 2005 to 2011. From
2011 he assumed the position of Executive Vice President and since July 2013 he has been the
Executive Chairman.
Panagiotis Bellos, Executive Vice President
Born in Athens in 1972. Graduated from DEREE COLLEGE - American College of Greece in 1997
with a degree in Business Administration and Marketing. In 1996, in parallel with his studies, he
started working as a trainee in the then-newly established Marketing Department of Space
Hellas. In 2002 he pioneered the establishment of the company of the group Space Vision SA,
which specializes in offering complete audiovisual solutions to companies and professionals and
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132
undertakes its operation in the capacity of General Manager. In 2012, it was decided that
Space Vision will join the technological solutions of Space Hellas, so he undertakes to integrate
the audiovisual solutions in the Offering of the parent company as a new product team while
at the same time handling the reorganization of the Marketing and Business Development
Department of the Group, from the position of Director. Simultaneously with his capacity as
Chief Marketing Officer of the group, in 2013 he joined the Executive Board of Space Hellas.
Ioannis Mertzanis, Chief Executive Officer - Executive Member
Dr. Ioannis Mertzanis is a graduate of the National Technical University of Athens (1985-1990) of
the Department of Electrical & Computer Engineering and holds an MSc degree in Telematics
with distinction from the University of Surrey in the United Kingdom. Chamber. He also holds a
PhD (1995-1999) in QoS provisioning in Broadband Satellite Multimedia Networks from the same
University, with a scholarship from the Center for Communications Systems Research. He started
his professional career in 1987 in the company Mikrologiki, working in the repair and assembly
of computers and in customer service. In the period 1990-1991 and 1992-1993 he worked as a
research associate at the Mobile Radiocommunications Laboratory of the NTUA in the ESPRIT
and ACTS research programs on wireless and mobile communications, as well as participated
in the radio coverage studies conducted for the first time in Greece, for Panafon . In 1994-1995
he worked at G-Systems in the application development and systems department of HP test &
measurements as Product Manager of the HP-VEE platform and Sales Support Software
Engineer. Between 1995 and 1999, during his doctoral dissertation, he worked at the Center for
Communication Systems Research (CCSR) at the University of Surrey, as a research associate
and project manager. He was responsible for the management and technical execution of a
large number of European and National (UK) projects in the area of satellite broadband
networks, starring in issues related to the evaluation of the performance of 3G networks and the
simulation of multimedia applications. From 1997 to 1998 he was an advisor to the evaluation
committee of Inmarsat HORIZONS as an expert of SATCONSULT, UK. During his work at CCSR he
undertook consulting studies on behalf of DERA (Defense Evaluation and Research Agency UK).
He started at Space Hellas in 1999 as Project Manager as a scientific officer in European and
national development programs, and in the development of new services and products. In
2001 he took over as Director of Research and Technological Development of the Space Hellas
group with the main role of coordinating the research activity of the group, aiming at the
development of innovative solutions and services. In 2003 he took over as General Manager of
Space Net, a subsidiary of the Space Hellas group which specialized in the field of
telecommunications, telematics and the development of high technology applications. In mid-
2005, he took over the position of General Manager of Services and Applications of Space
Hellas and became an executive member of the Board of Directors of the Company, where he
remains to this day. From this position he contributed decisively to the reorganization and
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133
transformation of the group in the field of System Integration, as well as its expansion abroad. In
July 2013 he took over the position of Executive Vice President & COO, while since June 2015
he holds the position of CEO of the Space Hellas group. Dr. Ioannis Mertzanis has more than 30
publications in international scientific journals and conferences and has participated in the
studies of the International Organization for Standardization (ETSI) for Broadband satellite
multimedia networks. He has been Vice President of the Advanced Satellite Mobile Systems
Task Force (ASMS-TF), an expert at the European Commission and a reviewer of IEEE, IJSC and
ETRI scientific books.
Ioannis Doulaveris, Executive Member
He was born in 1968 in Athens. He is a graduate of the Department of Applied Informatics of
the Athens University of Economics and Business (ASOEE) with a specialization in Finance and
holds a master's degree "MSc in International Business and Finance" from the University of South
Bank London. He is a member of the Economic Chamber of Greece and holds a license as a
First Class Tax Accountant. He has been working at Space Hellas since 1998 in various positions
of responsibility and since December 2007 he has held the position of General Financial
Manager of the Group. In July 2012 he joined the Board of Directors of Space Hellas as an
Executive Member. He has many years of professional experience in the field of Financial
Management and Financial Analysis and Strategy.
Anastasia Paparizou, Executive Member
He was born in 1962 in Melitaia Domokou. He is a graduate of Economics of the National &
Kapodistrian University of Athens as well as of the Higher Education Institution of Piraeus,
Department of Accounting & Finance. He is a member of the Economic Chamber of Greece.
She has been working for Space Hellas since 1987. She holds the position of Warehouse
Accounting & Costing Manager. In August 2017 he joined the Board of Directors of Space Hellas
as an executive member. Has many years of professional experience in Accounting, Costing
and Financial implementation.
Theodoros Chatzistamatiou, Vice President - Non-Executive Member
Mr. Theodoros Chatzistamatiou was born in Athens on 3-7-1949. He is a graduate of the
Department of Mathematics of the University of Athens (1973) and of NCSR Democritus (degree
of Analysis and Programming (1973), while in the period 1975-1976, he studied analysis and
programming. In 1977, he served as Chief Payroll Officer in the Naval General Staff of the
Ministry of National Defense, with responsibility for planning and analysis. name: Hellenic
Informatics Systems SA, a subsidiary of ETVA and assuming the position of administrator of the
Mediterranean Integrated Program (IMP), IT achieved the absorption of IMP to reach 97% within
two years (from 13%). In 1993 he was secretary at the General Secretariat of Information Systems
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of the Ministry of Finance. In the period 1994-1999, he held the position of director in the
Hydrographic Service. In the period 1999-2006, he was the president of ISCHYS A.E.L.D.E. In the
period 2000-2012, he was president and CEO of Master Hellas Consulting SA. In the period 2009-
2013, he was chairman of the board of directors of DEFKALION SA. He is the author of the book:
"Learning COBOL Language" (1982), and his articles have been published in industry and daily
press (1983-1992). He also has many years of educational experience in computer science, as
in the period 1981-1987 he was a professor of computer languages at the School of Computer
Programming of the Ministry of National Defense. He has participated in a number of complex
IT projects. He is fluent in English. From 17-03-2016, he was an independent non-executive
member of the Board of Directors of Space Hellas.
Emmanouil Chatiras, Independent Non-Executive Member
Manos Chatiras was born in Athens on 03-08-1977. He is a recognized executive with proven
know-how and business experience with significant financial success in London and New York.
His experience in building new business ideas in multinational organizations gives him invaluable
knowledge of how international companies operate. Today he is the CEO & Co-Founder of
CURITY PHARMA S.A. (former HEXO MED S.A.). He has over 15 years of experience in investment
management and financial experience. From 2009 to 2019 he excels at Deutsche Bank in
London. He started his career at Deutsche Bank as Head of Hedge Funds Research and
Investment at Corporate & Investment Bank. In 2013, he transferred to the capital management
department of Deutsche Bank as the Global Head of Hedge Funds. Since 2016, he has been
the Chief Executive Officer - Global Head of Multi-Asset Products at the Corporate & Investment
Bank of Deutsche Bank and a Member of the Executive Committee of Global Investment
Solutions. Under Mr. Hatiras' leadership, his team was directly responsible for managing $ 12
billion and had been repeatedly recognized as the Best Overall Investment Platform. Prior to
joining Deutsche Bank, he was Credit Agricole's Chief Research Officer for European Holdings
and a member of Credit Agricole's Investment Committee. He began his professional career in
2004 in New York as a hedge fund analyst at Lyra Capital LLC. During his financial career, he
was involved in most markets, including the IT market, having analyzed Hedge Funds
investments in the IT field. He is the author of academic and practical articles with papers
published by Wiley Publications as well as The Journal of Alternative Investments. He holds an
MBA from the University of Massachusetts in the USA. and a bachelor's degree in Economics
and IT Management from the University of Maine in the USA, where he graduated with honours.
Anna Kalliani, Independent Non-Executive Member (from 13.05.2021)
Ms. Anna Kalliani has been President of the Hellenic-British Chamber of Commerce since 2017,
having been elected for a second three-year term. Ms. Kalliani is a professional in the field of
financial & strategic consulting services, owner of the company Anirva International Strategic
SPACE HELLAS S.A.
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135
Advisors Ltd. She has over 20 years of professional experience in investment banking, having
started her career as a financial analyst at Citibank, and then took various positions in
investment banking at HSBC and the Investment Bank (Emporiki) in Greece, as well as Deloitte
& Touche. Over the years, she has specialized in Mergers & Acquisitions, listing of companies,
privatizations, recognition & evaluation of investment opportunities and financial planning.
Since 2005, he has been an advisor on financial and strategic issues to investors, investment
funds, corporate leaders and boards, providing advice on formulation and evaluation on
strategic issues, search and evaluation of investment opportunities, acquisitions & mergers,
fundraising. In addition, since 2008, he has specialized in business networking internationally,
managing strategic issues and corporate public relations. Ms. Kalliani holds an MBA from the
University of Chicago (Chicago Booth) and a degree in Economics from the Athens University
of Economics and Business, having first entered and graduated in Greece of her class, while
she also received a scholarship from Fulbight.
Eirinaios Theodorou, Independent Non-Executive Member (from 10.10.2022)
Born in Athens in 1982, Eirinaios Theodorou graduated from the Department of Management of
the University of Patras in 2005 with distinction from the IKY. Today he is the Chairman of the
Board of Directors. and co-founder of FK Consulting Services SA. In 2008, he completed post-
graduate professional training at the Institute of Certified Public Auditors, and since 2016, he has
been licensed to practice as a Chartered Auditor. Since 2009, he has been included in the
Registry of Internal Auditors of the Ministry of Finance and has served as head of Internal Audit
in large Organizations (OASA, ERT, IDIKA). He has held a Class A accountant's license since 2014.
In 2013 he obtained the "CRMA" certification from the International Institute of Internal Auditors.
He has been a lecturer in the field of accounting and taxation seminars as well as in the field of
internal controls manuals and evaluation of internal control systems in private training centers.
He has participated in more than 100 audit and consulting projects for both domestic and
international clients, covering a wide range of industry sectors (Technology &
Telecommunications, Manufacturing, Natural Gas, Real Estate, Shipping, Construction,
Hospitality & Leisure, Healthcare Facilities). He has led projects on company valuations, Mergers
& Acquisitions, and Strategic and Business Plans. In 2022, he joined the Board of Directors of
Space Hellas as an independent non-executive member and holds the position of Chairman of
the Audit Committee and member of the Remuneration and Nominations Committee.
The members of the Board of Directors of the Company, from 01.01.2023 to 31.12.2023, have
notified the Company of the following other professional commitments:
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136
Member of BoD.
Company
Position
Spyridon Manolopoulos
1.SINGULARLOGIC SA
2. SENSE ONE SINGLE MEMBER S.A.
3. EPSILON SINGULARLOGIC S.A.
4. SPACE HELLAS (MALTA) LTD
5. SEPE.
6. HELLENIC BRITISH CHAMBER OF COMMERCE
7. ENEISET – Union of Listed Companies
1. Chairman of BoD.
2. Chairman of BoD.
3. Member of BoD. (until
02.10.2023)
4. Director
5. Member of BoD.
6. Member of BoD.
7. Member of M.C.
Panagiotis Bellos
1. SENSE ONE SINGLE MEMBER S.A.
2.SINGULARLOGIC SA
1. Member of BoD.
2. Member of BoD.. (since
22.09.2023)
Ioannis Mertzanis
1.SINGULARLOGIC S.A.
2. SENSE ONE SINGLE MEMBER S.A.
3. SPACE HELLAS Doo Beograd-Stari Grad
4. SPACE ARAB LEVANT TECHNOLOGIES COMPANY
5. Web- IQ B.V.
1. CEO
2. CEO
3. Director
4. General Manager
5. Non-executive member of
the BoD
Ioannis Doulaveris
1. SINGULARLOGIC S.A.
2. SENSE ONE SINGLE MEMBER S.A.
3. SPACE HELLAS (CYPRUS) LTD
4. SPACE HELLAS (MALTA) LTD
5. GIT HOLDINDS S.A..
6. SINGULARLOGIC CYPRUS LTD
7. GIT (CYPRUS) LTD
1. Member of BoD
2. Member of BoD
3. Director
4. Secretary
5. Chairman & CEO (until
18.12.2023)
6. Director
7. Director (until 04.08.2023)
Theodoros Chatzistamatiou
SINGULARLOGIC S..A.
Member of BoD. (since
22.09.2023)
Anna Kalliani
HELLENIC BRITISH CHAMBER OF COMMERCE
Anirva International Strategic Advisors Ltd
President
Owner
Emmanouil Chatiras
CURITY PHARMA S.A.
CEO & Co-founder
Eirenaios Theodorou
FK CONSULTING SERVICES
ELTON S.A.
President
Audit Committee Chairman
C.2. The obligations, duties and the mode of operation of the Board of Directors of the Company.
The board of directors is responsible for deciding on any action concerning the management
of the Company, the management of its assets, and the general pursuit of the company's
purpose.
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The responsibilities of the board of directors are determined by the Articles of Association of the
Company, and the existing legislation. According to the Company's Articles of Association and
Law 4548/2018, after its election by the general meeting, the Board of Directors is formed in a
body for the election of the chairman, the vice-chairmen and the managing director. At the
same meeting it is decided to delegate responsibilities to its members or to third parties.
At present, responsibilities have been delegated to the Executive Chairman of the Board of
Directors, the Chief Executive Officer, the Executive Vice President and the Executive Member
Mr. Ioannis Doulaveris. For the better coordination of the management of the corporate affairs,
the board of directors may appoint a committee in which executives of the corporate structure
of the Company participate. Regarding the right to sign, this is given up to a certain financial
limit, and beyond that the Company is bound by the Board of Directors with a decision
according to the relevant minutes of the relevant minutes of the Board of Directors of the
Company (representation and delegation of responsibilities published in the G.E.MI).
Each member of the board of directors is obliged to strictly observe the confidentiality of the
Company which became known to it due to his status as a consultant.
The members of the board of directors and every third person to whom he has been assigned
responsibilities are prohibited from pursuing the same interests that are contrary to the interests
of the Company, according to article 97 of law 4548/2018.
The members of the board of directors and every third party who has been assigned
responsibilities must timely disclose to the other members their own interests, as well as any other
conflict of interest with those of the Company or its affiliated companies, within the meaning of
Law 4548 / 2018, arising from the exercise of their duties.
It is prohibited for the members of the board of directors who participate in any way in the
management of the Company, as well as in its directors, to act without the permission of the
general meeting or the relevant provision of the articles of association on their own account or
on behalf of third parties, acts that belong to one of them. purposes of the Company, as well
as to participate as general partners or as sole shareholders or partners in companies that
pursue such purposes.
The board of directors must meet at the company's headquarters whenever the law, the articles
of association, or the company's needs require it to. However, the board may meet validly in
another place, outside the company's headquarters, at home or abroad, provided that all its
members are present or represented at the meeting and no one objects to the meeting's
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138
holding and decision-making. The meeting of the board of directors can be held by
teleconference with respect to some or all members.
In this case, the invitation to the members of the board includes the necessary information and
technical instructions for their participation in the meeting.
The convening of the board of directors can be requested by at least two (2) of its members
with their request to its Chairman or his deputy, who is obliged to convene the board of directors
in time so that it meets within seven (7) days from the submission of the application. The
application must, with a penalty of inadmissibility, clearly state the issues that will be the concern
of the board of directors. If the Board of Directors is not convened by the Chairman or his deputy
within the above deadline, the members who requested the convening are allowed to
convene the Board within five (5) days from the expiration of the above deadline of seven (7)
days. , notifying the relevant invitation to the other members of the board.
The Board of Directors is convened by the Chairman or his / her Deputy by invitation sent by fax
or e-mail to the members at least two (2) working days before the meeting and at least five (5)
working days if the meeting is to be held. to be held outside the Company's registered office.
The agenda must also clearly state the issues on the agenda; otherwise, decision-making is
allowed only if all members of the board are present or represented and no one objects to the
decision-making.
Each director may validly represent only one other director appointed by the absent director
by a written letter addressed to the board. Each counsellor validly represents only one of the
other absent counsellors.
The board of directors is in quorum and meets validly when more than one of the directors is
present or represented in this half, but the number of present or represented directors can never
be less than three (3). In order to find the quorum number, any resulting fraction is omitted. In
the meetings of the board of directors, the duties of the secretary are, as the case may be, one
of its members or the legal advisor of the Company upon request. The secretary oversees the
minutes of the meetings of the board of directors, taking care to record all the views of its
members that are expressed.
Unless otherwise provided by law, the decisions of the Board of Directors are validly taken by
an absolute majority of the members present and represented. Each director has one vote,
and when he represents an absent director, he has two (2) votes. In the event of a tie, the vote
of the Chairman of the Board shall prevail.
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The minutes of the board of directors are signed by the present members. Copies of the minutes
are formally issued by the Chairman or the Vice-President or the Chief Executive Officer (in case
he does not also have the position of Chairman) or a member of the Board of Directors
appointed by a decision of the Board of Directors, without further validation.
According to Article 94 of law 4548/2018, the preparation and signing of minutes by all members
of the Board of Directors or their representatives is equivalent to a decision of the Board of
Directors, even if no meeting has preceded. This arrangement also applies if all advisers or their
representatives agree to have their majority decision recorded in minutes without a meeting.
The relevant minutes are signed by all consultants. The signatures of the advisors or their
representatives can be replaced by exchanging messages via e-mail or other electronic
means. The minutes that are prepared are registered in the book of minutes, according to
Article 93 of Law 4548/2018.
During the meeting of the board of directors for the discussion on the recommendation of the
board of directors to the annual regular general meeting of the shareholders of the Company,
there is a discussion about the actions of the board of directors and opinions are expressed
regarding the evaluation of the board performance of its members as well as proposals for the
next year, with an interactive discussion, without the need for a special meeting of the non-
executive members, which in terms of the corporate environment are part of the structure of
the board and the need to take decisions through exchange of views by all members, briefing
and interactive discussion. The evaluation of the members of the Board of Directors is foreseen
as a procedure (regular and extraordinary) in the suitability policy of the members of the Board
of Directors. In this context and because the Company's committees are committees of the
board of directors, the corporate governance statement does not include a brief description
of the process of individual and collective evaluation of the board of directors, the committees,
as well as a summary of any findings and corrective actions.
The members of the Board of Directors of the Company.
The Board of Directors that manages the Company has nine members and consists of five (5)
executive members, one (1) non-executive and three (3) independent non-executive
members. The independent non-executive members are not less than one-third (1/3) of the
total number of its members, and in any case, they are not less than two (2).
The members of the Board of Directors, who may be shareholders of the Company or third
parties (non-shareholders), are elected by the general meeting of shareholders of the
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140
Company for a term of six years, which is exceptionally extended until the expiration of the term,
within which The next regular general meeting shall be convened until a decision is taken.
The members of the Board of Directors are elected or appointed in accordance with articles
78 to 80 of Law 4548/2018 and in compliance with the relevant provisions of the legislation on
corporate governance. According to Law 4706/2020, the company has a remuneration and
nominations committee which identifies and proposes to the board of directors persons suitable
for the acquisition of the status of board member based on the procedure provided in its
operating regulations. For the selection of the candidates, the nomination committee takes into
account the factors and criteria determined by the Company in accordance with its suitability
policy.
In case of resignation, death or in any other way loss of the status of the Board of Directors, the
Board of Directors may elect its members to replace the members who have lapsed. This
election by the board of directors is made by the decision of the remaining members, if there
are at least three (3), and is valid for the remainder of the term of office of the member being
replaced. The decision of the election is made public and announced by the board of directors
immediately following the general assembly, which may replace the elected, even if no
relevant issue is listed on the agenda. In the event of resignation, death or in any other way loss
of membership or members of the board of directors, the remaining members may continue
the management and representation of the Company without replacing the missing members,
in accordance with paragraph 1 of article 82 of Law 4548/2018, provided that their number
exceeds half of the members, as they had before the occurrence of the above events. In any
case, these members may not be less than three (3).
The directors must attend and participate in the meetings of the board of directors without fail.
The continuous absence of a director from the meetings for one (1) year without a justified
reason or without the permission of the Board of Directors is equivalent to his resignation from
the Board of Directors, which, however, is valid only from the moment the board of directors
decides on this and the registration of its relevant decision in the minutes takes place.
The Company submits to the Capital Market Commission the minutes of the meeting of the
Board of Directors or the general assembly, which has as its subject the establishment or the
term of office of the members of the Board of Directors within twenty (20) days from the end
thereof.
The members of the Board of Directors of the Company.
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141
The Board of Directors that manages the Company has nine members and consists of five (5)
executive members, one (1) non-executive and three (3) independent non-executive
members. The independent non-executive members are not less than one-third (1/3) of the
total number of its members, and in any case, they are not less than two (2).
The members of the Board of Directors, who may be shareholders of the Company or third
parties (non-shareholders) are elected by the general meeting of shareholders of the Company
for a term of six years, which is exceptionally extended until the expiration of the term, within
which the next regular general meeting shall be convened until a decision is taken. If a fraction
occurs, it is rounded to the nearest number.
Executive members of the Board of Directors of the Company.
The executive members of the Board of Directors of the Company exercise their responsibilities
in accordance with the Articles of Association and current legislation, especially the provisions
of Law 4548/2018 and Law 4706/2020.
The executive members of the board of directors are responsible for the implementation of the
strategy determined by it and consult at regular intervals with the non-executive members of
the board of directors regarding the appropriateness of the implemented strategy.
Also, the executive members inform the board of directors in writing without delay in existing
situations of crisis or risk, as well as when it is required by the circumstances to take measures
that are reasonably expected to significantly affect the company, such as when decisions are
to be made regarding the business activity and the risks taken, which are expected to affect
the financial situation of the Company. The briefing shall be provided by the executive
members either jointly or separately, by submitting a relevant report to the board of directors
with their assessments and proposals, when deemed necessary.
The individual appointment and assignment of responsibilities to the executive members of the
board of directors (such as, for example, the representation of the Company, among others,
against public services, public or private sector legal entities and banks) takes place by a
relevant decision and the right to sign up to a monetary limit set by the Management Board in
its decision. Beyond this limit, the board of directors takes a decision in a special meeting for the
commitment of the Company, according to the specifics mentioned in the relevant minutes of
the board of directors of the Company, which has been posted in the G.E.M.I.
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By decision of the board of directors, its executive members may authorize third parties - non-
members - persons to perform specific - individual acts. Such persons may be mainly managers
of the Company depending on the case.
The Chairman of the Board of Directors of the Company.
In case the Chairman of the Board of Directors of the Company is an executive member, the
Board of Directors of the Company appoints at least one Vice Chairman from among its non-
executive members. The Chairman of the Board of Directors cooperates with the managing
director and the other members of the Board of Directors of the Company for the development
and implementation of the Company's objectives in accordance with the provisions of the
Company's Articles of Association and applicable law.
In this context, the Chairman of the Board of Directors of the Company:
▪ Leads the management of the Company, is in charge according to the organization
chart of all its departments, and, in collaboration with the managing director,
implements the group's strategy.
▪ Convenes the board meeting and determines the items on the agenda.
▪ Chairs the meetings of the board of directors.
▪ Collaborates with the CEO to ensure the implementation of the decisions of the board.
▪ Convenes the board of directors extraordinarily, if required.
▪ In collaboration with the CEO proposes the members of the committees.
▪ Cooperates with the CEO in matters of preparation of the agenda of the meetings of
the board of directors.
▪ Collaborates with the CEO in providing instructions and directions to the new members
of the board.
▪ Represents the Company before any authority in accordance with the minutes of the
board of directors on the assignment of responsibilities.
▪ If the Chairman of the Board of Directors is an executive member of the Board of
Directors, the executive duties are defined by the Board of Directors. The Executive
Chairman may be replaced by a non-executive Vice-President to perform the non-
executive duties of the Chairman.
▪ Supervises the information and provision of support to the members of the board of
directors.
▪ Encourages dialogue between the Company, its shareholders and other stakeholders
and promotes the facilitation of understanding and concerns of shareholders and other
stakeholders by the board of directors.
The Chairman of the Board of Directors refers to the Board of Directors of the Company.
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143
The CEO.
The Chief Executive Officer is an executive member of the board of directors and collaborates
with the Chairman and the Board of Directors for the development and implementation of the
Company's objectives.
In this context, the CEO:
▪ Participates in the definition of the Company's strategy, together with the Chairman and
the other executive members that make up the board of directors.
▪ Participates in defining the set of goals and how to achieve them.
▪ He is responsible, together with the Chairman and the Board of Directors, for determining
the Company's payroll policy.
▪ Promotes the image and vision of the Company.
▪ Participates in the process of approving productive investments.
▪ Promotes and forms cooperation agreements with foreign companies (representation,
marketing, product distribution, etc.).
▪ Collaborates with banking institutions and decides on financing and lending issues.
▪ Co-decides on staff recruitment.
▪ Co-decides and approves the general operating expenses of the Company.
▪ Co-decides on the formulation of the pricing policy and the discount policy of the
Company.
▪ Makes decisions and sets priorities mainly in matters of investment, financing, pricing
policy and products.
▪ Directs the activities of the staff, mainly of the commercial departments of the
company.
▪ Participates in regular meetings with:
➢ Chairman of the Board.
➢ Board of Directors.
➢ Banks.
➢ Subsidiaries of the company.
The Chief Executive Officer refers to the Board of Directors of the Company.
The Vice President / s of the Board of Directors of the Company.
According to the Company's Articles of Association, the Board of Directors, by its decision,
elects one or more vice presidents from among its executive and/or non-executive members.
The Company has two vice-chairmen of the board of directors, one executive and one non-
executive, who participate in all its meetings and are responsible for the promotion of corporate
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issues in accordance with the law (Law 4548/2018 and Law 4706 / 2020) and the Articles of
Association of the Company.
Non-Executive members of the Board of Directors of the Company.
The non-executive members of the board are in charge of supervising and promoting all
corporate matters.
The non-executive members of the Board of Directors of the Company exercise their
responsibilities in accordance with the Articles of Association and current legislation, especially
the provisions of Laws 4548/2018 and 4706/2020 and have no executive responsibilities in the
management of the Company beyond the general duties due to their capacity as members
of the board of directors. The capacity of the members of the board of directors as non-
executive is defined by the board of directors and according to the law.
The non-executive members of the Board of Directors of the Company, including the
independent non-executive members, are mainly responsible for the systematic supervision
and monitoring of the decision-making of the management and in particular, they monitor and
examine the strategy of the Company and its implementation, as well as the achieve its
objectives, ensure effective oversight of executive members, including monitoring and
controlling their performance, and consider and express views on proposals submitted by
executive members, based on existing information.
Independent non-executive members of the Board of Directors of the Company.
Independent non-executive members of the Board of Directors of the Company are defined
as the non-executive members of the Board of Directors of the Company who, during their
appointment or election and during their term of office, meet the independence criteria of
article 7 of Law 4706/2020. The independent non-executive members are elected by the
general meeting of the Company's shareholders or are appointed by the board of directors in
case of replacement of a resigned independent member and are not less than 1/3 of the total
number of members and in any case, are not less than two (2), in accordance with the
provisions of applicable law.
In particular, a non-executive member of the board of directors is considered independent if
during the appointment and during his term of office he meets the conditions of article 9 par. 2
of law 4706/2020, as in each case.
The fulfilment of these conditions for the designation of a member of the Board of Directors as
an independent member is reviewed by the Board of Directors on at least an annual basis per
financial year and, in any case, before the publication of the annual financial report, which
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145
includes a relevant finding. In the event that the conditions are found to have ceased to exist
in the person of an independent non-executive member, the board of directors shall take the
appropriate steps to replace it, as provided by law.
Regarding the fiscal year 2023 and until the date of signing this statement, the board of
directors, following a review of the legal conditions of independence of article 9 of law
4706/2020, finds that its independent non-executive members meet the criteria of
independence of article 9 of Law 4706/2020.
The independent members of the Board of Directors have the possibility to submit, individually
or jointly, reports and separate reports from those of the Board of Directors to the regular or
extraordinary general meeting of the Company's shareholders if they deem it necessary.
A non-executive member of the Board of Directors is considered independent if, at the time of
his appointment and during his term of office, he does not directly or indirectly hold a
percentage of voting rights greater than zero party five percent (0.5%) of the Company's share
capital and is exempt from financial, business, family or other kind of dependent relations, which
can influence his decisions and his independent and objective judgment, while a dependent
relationship exists in particular in those referred to in article 9 par. 2 of law 4706/2020.
Obligations of the members of the board of directors of the Company for the defense of the
corporate interest.
Each member of the board of directors is obliged to strictly observe the confidentiality of the
Company, which became known to it due to his status as a consultant.
The members of the board of directors and every third person to whom he has been assigned
responsibilities are prohibited from pursuing the same interests that are contrary to the interests
of the Company, according to article 97 of law 4548/2018.
The members of the Board of Directors and every third person who has been assigned
responsibilities must disclose in time to the other members of the Board of Directors their same
interests, which may arise in the Company's transactions which fall within their duties, as well as
any other conflict. own interests with those of the Company or related companies within the
meaning of Law 4548/2018, which arises during the exercise of their duties.
It is prohibited for the directors who participate in any way in the management of the
Company, as well as in its directors, to act without the permission of the general meeting on
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146
their own account or on behalf of third parties, transactions that are part of one of the purposes
pursued by the Company, to participate. to one of the purposes pursued by the Company, as
well as to participate as full partners in companies pursuing such purposes.
The members of the board of directors have the collective duty towards the Company to
ensure that: a) the annual financial statements, the management report and the corporate
governance statement and b) the consolidated financial statements, the consolidated
management reports and when provided separately, the consolidated corporate governance
statement has been prepared and made public in accordance with the requirements of the
relevant provisions and, where applicable, the international accounting standards established.
C.3. Eligibility policy of the members of the Board of Directors of the Company.
The Company applies a policy of suitability of the members of the board of directors
(hereinafter "fitness policy") in accordance with the provisions of article 3 of law 4706/2020 for
corporate governance, as in force, law 4548/2018 as in force, the company's articles of
association and the circular no. 60 / 18-09-2020 of the Hellenic Capital Market Commission
("Guidelines for the Suitability Policy of article 3 of law 4706/2020").
The suitability policy is prepared and approved by the Board of Directors of the Company and
then submitted for approval to the general meeting of the Company's shareholders and posted
on the Company's website. Amendments to the eligibility policy are approved by the Board of
Directors of the Company and if they are essential they are submitted for approval to the
general meeting.
The Company's suitability policy was approved by the Board of Directors of the Company
(decision of the Board of Directors dated 11-06-2021) and was subsequently approved by the
35th Ordinary General Meeting of Shareholders of 17-06-2021 and is posted on its website.
company: https://www.space.gr/el/corporate-governance-code, according to the
applicable provisions.
The suitability policy is in accordance with the internal regulations of the Company, as in force,
and with the corporate governance code applied by the Company and includes the principles
concerning the election or replacement of the members of the board of directors, as well as
the renewal of the term of office. criteria for assessing the suitability - individual and collective -
of board members, in particular for guarantees of morality, reputation, adequacy of
knowledge, skills, judgment independence and experience assigned to them and the provision
of diversity criteria for the selection of board members.
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The suitability policy aims to ensure the quality staffing, the efficient operation and the fulfillment
of the role of the board of directors based on the general strategy and the medium-term
business aspirations and planning of the company in order to promote the corporate interest
and to shape the board. of the Company took into account the size, internal organization, risk-
taking, nature, scale and complexity of the company's activities, as well as any other
information specific to the Company and the markets in which it operates, as well as the
principles digital transformation and information and communication technologies.
Monitoring the implementation of the suitability policy is the responsibility of the Board of
Directors of the Company. The Remuneration and Nomination Committee, the Internal Audit
Unit, as well as related organizational units (such as human resources and / or legal service) can
make an effective contribution to the formulation and monitoring of the suitability policy.
The company monitors the effectiveness of the eligibility policy, periodically evaluates it at
regular intervals or when significant events or changes occur, modifies the eligibility policy, and
reviews its design and implementation, taking into account the recommendations of the
nomination committee, the internal control unit, and any external bodies, if required.
C.4. Board meetings.
During the year 2023, 215 meetings of the Board of Directors of the Company were held and all
the members of the Board of Directors, during their term of office, participated in all the
meetings.
C.5. Remuneration of the members of the board of directors.
Remuneration policy of the members of the board of directors.
The remuneration policy is drawn up and approved by the board of directors in a special
meeting, taking into account or adopting the recommendation of the remuneration and
nomination committee, and its review and revision require the same procedure, while in any
case the unanimous vote of all independent board members.
The company is obliged to submit the remuneration policy for approval to the general meeting
whenever there is a significant change in the circumstances under which the approved
remuneration policy was drawn up and, in any case, every four (4) years from its approval.
According to the Company's Articles of Association, the members of the Board of Directors are
entitled to receive remuneration or other benefits in accordance with the law and the
provisions of the Company's Articles of Association and, as the case may be, the Company's
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remuneration policy. Any other compensation or remuneration of the members of the board of
directors shall be borne by the Company only if it has been authorized and approved by a
special decision of the general meeting of shareholders.
The remuneration and any other compensations of the non-executive members of the board
of directors are determined in accordance with law 4548/2018.
The remuneration process is characterized by objectivity, transparency and professionalism and
is free from conflicts of interest.
The remuneration policy of the company's Board of Directors covers total remuneration
consisting of fixed salaries, variable remuneration, meeting fees, and compensations paid by
the company to the Board of Directors in accordance with applicable law.
The total remuneration includes fixed and variable parts to ensure the link between
remuneration and short-term and long-term operational efficiency: Fixed remuneration for
executive or non-executive members (excluding independents) of the board of directors with
a fixed-term or indefinite employment relationship or service contract respectively and variable
remuneration that rewards the above for their performance. The employment contracts are for
a definite or indefinite period of time, while for the determination and payment of the salary
and as far as the employment contracts are concerned, the labor legislation is observed.
Depending on the position (executive / non-executive members / independent non-executive
members of the board of directors), the individual duties and the possible assignment of a
managerial position to the Company, additional remuneration is provided due to the needs of
the position and the level of responsibility, such as usage corporate mobile phone, corporate
car use and private health insurance.
Remuneration of the members of the board of directors for the year 2023.
For the fiscal year 2023, the 37th regular general meeting of the Company's shareholders of 12-
06-2023 has pre-approved the remuneration and compensations of the members of the board
of directors and decided for the year 2023 the fixed remuneration for the members associated
with the Company with amount to 617,000 euros from 616.681,85 in 2022 and the variables
(wage) - which relate to the achievement of the targets set for the year 2022 - to rise to € 150,000
maximum compared to 139.900 of 2022, which will be paid in 2023
The general meeting also decided to pay, in respect of the extraordinary remuneration of the
members of the board of directors for their preparation and participation in the meetings of the
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149
body during the year 2023, a fixed (flat-rate) remuneration, in accordance with the one
approved by the 34th regular general meeting of the company shareholders of 18-06-2020
updated remuneration policy, which (fee) will amount to € 54,000 for the executive members
and to € 24,000 for the non-executive members, except for a) the independent non-executive
member of the board of directors of the company who is also the Chairman of the audit
committee and who will receive a fee amounting to €24,000 for the performance of the duties
of the Chairman of the audit committee while he will not receive any remuneration for his
participation at the meetings of the board of directors, in accordance with the relevant
provision of the updated remuneration policy of the company and b) the non-executive vice
president who will be remunerated with € 44,000, in any case regardless of the number of
meetings. Finally, from the 37th regular general meeting of shareholders of 12.06.2023, it was
decided that the variable remuneration (bonus) regarding the achievement of the objectives
of the fiscal year 2023 that will be paid in 2024 will be adjusted according to the remuneration
policy of the Company and, in any case, up to the maximum quantitative limit given by said
pre-approval.
It is noted that in the regular general meeting of shareholders that will take place in 2024 for the
approval of results for the year 2023, the Remuneration Report of the board of directors for the
salaries paid during the year 2023 will be submitted for approval, according to article 112 of law
4548 / 2018 and the remuneration policy of the Company.
C.6. Boards of Directors.
The Board of Directors has two (2) committees, staffed exclusively by its members, the Audit
Committee and the Remuneration and Nominations Committee. The Operating Regulations of
the two committees have been approved by the board of directors and are posted on the
Company's website.
Audit Committee
The audit committee consists of three (3) members. It is a committee of the board of directors,
i.e. a committee consisting exclusively of non-executive members of the board of directors, who
are elected by the general meeting of shareholders. It can be an independent committee
consisting only of third parties or non-executive members of the board and third parties. The
members as a whole have proven sufficient knowledge in the field in which the Company
operates (i.e. telecommunications, IT, security), and at least one (1) member has proven
sufficient knowledge and experience in accounting and auditing (International Standards) or
is a chartered accountant in suspension, which is mandatory to attend the meetings of the
audit committee regarding the approval of the company's financial statements and in order
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for the audit committee to be able to implement the responsibilities and obligations set out in
paragraph 3 article 44 of Law 4449/2017.
The term of office of the members of the audit committee is proportional to that of the board
of directors.
The audit committee appoints one of its members as chairman, while the secretary of the board
of directors acts as secretary, respectively. The Secretary-General shall take care of the minutes
of the meetings of the Committee, taking care to record all the views expressed by its members.
The purpose of the audit committee is to monitor the audit of the Company's financial
statements and the financial information process, the external control system, the effectiveness
of the internal control system procedures, risk management and corporate governance, as well
as the internal control unit, the selection of certified auditors or auditing companies appointed
to audit the financial statements of the company (regular and alternate auditors Law
4548/2018), the review and monitoring of the independence of the auditors or the auditing
companies of the Company, in compliance with the provisions of (EU) 2016/679 on the
protection of personal data.
The audit committee has operating regulations in accordance with the provisions of applicable
law, approved by the Board of Directors of the Company and posted on the Company's
website (https://www.space.gr/el/corporate-governance-code), as well as the CVs of its
members. The discussions and decisions of the audit committee are recorded in minutes, which
are signed by the present members in accordance with article 93 of law 4548/2018.
With the decision of the 34th regular general meeting of the shareholders of the company of
18-06-2020, as members of the audit committee - with the same term as the members of the
board of directors - were elected Messrs. Theodoros Gakis of Themistokleous (Chairman of the
committee - independent non-executive member of the Board), Emmanouil Chatiras of Ioannis
(member of the committee - independent non-executive member of the Board) and
Athanasios Patsouras of Nikolaos (member of the committee - independent non-executive
Board member. Then, after the resignation of the independent non-executive member of the
board of directors of the company and member of the audit committee, Mr Athanasios
Patsouras, from a member of the board of directors and consequently of the audit committee,
the board of directors of the Company from 13.05 .2021 decision (from 13.05.2021 minutes of
the meeting) and after examining the eligibility criteria and the conditions of independence of
article 44 of law 4706/2020 and articles 10 and 74 par. 4 of law 4449/2017, as well as of with no.
1508 / 17-7-2020 of the circular of the Hellenic Capital Market Commission, appointed Mr
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Theodoros Chatzistamatiou of Nikolaos, non-executive Vice President of the Board of Directors
of the Company, as a new member of the audit committee, replacing the resigned Mr
Athanasios Patsouras, for the balance of the term of the committee, which is identical with that
of the board of directors of the company. For the above election, the fact that the new
member, like the other members of the audit committee, has sufficient knowledge in the field
of activity of the company was also taken into account. This election was announced at the
35th regular general meeting of the company's shareholders on 17.06.2021.
The audit committee was reorganized during the meeting of 13.05.2021 into the following body:
Theodoros Gakis (Chairman—independent non-executive member of the Board), Emmanouil
Chatiras (member—independent non-executive member of the Board), and Theodoros
Chatzistamatiou ( member—non-executive Vice President of the Board).
It is noted that with the decision of the 36th regular general meeting of the company's
shareholders on 22.06.2022 (item 8), the type, composition (number of members and attributes)
and term of the company's audit committee were determined in accordance with articles 44
of the law 4449/2017 and 74 par. 4b of Law 4706/2020 and specifically that: (a) the type of audit
committee should be a committee of the board of directors according to the company's
practice until then, i.e. a committee consisting of non-executive members of the board of
directors ( article 44 par. 1 (aa) of Law 4449/2017, as applicable) which in the majority will be
independent (article 44 par. 1 (d) of Law 4449/2017, as applicable) (b) the composition of the
audit committee to be, according to the company's practice until then, three members (c) the
term of office of the members of the audit committee to coincide with the term of office of the
board of directors of the company, which is six years and is exceptionally extended until the
end of the term, within which the next regular general meeting must be held and until the
relevant decision is taken, i.e. no later than September 10, 2026, subject to any repeat or
postponed meeting.
Subsequently, due to the resignation of the independent non-executive member of the
Company's board of directors, Mr. Theodoros Gakis, as a member of the board of directors and,
by extension as a member of the audit committee, the company's board of directors with its
decision of 11.10.2022 ( as from 11.10.2022 minutes of the meeting), after having taken into
account the relevant recommendation of the remuneration and nominations committee of the
Company and its reasoning therein, with which all the members of the board of directors
agreed and the assumptions of which were adopted as such and in full, after verified and found
that the new member is independent in accordance with the provision of article 44 par. 1 item
(d) of Law 4449/2017 as he meets the independence criteria of Article 9 of Law 4706/2020 (as
verified by the administrative board of the company by virtue of its decision of 10.10.2022) and
confirmed, based on his CV and all the documents, statements and information obtained from
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152
him, from the company internally and from external sources, that the new member meets the
other requirements defined by article 44 of Law 4449/2017, appointed as a new independent
member of the audit committee the independent non-executive member of the board of
directors of the company Mr Eirinaios Theodorou, until the next general meeting of the
Company's shares which will decide on the assignment of the status of independent non-
executive member to the aforementioned member elected by the board of directors, or the
assignment to another existing member or to a new member that the general meeting will elect,
in accordance with the provisions in force.
The audit committee, during the meeting of 11.10.2022, was reconstituted in a body as follows:
Eirinaios Theodorou, independent non-executive member of the Board of Directors, who has
sufficient knowledge and appropriate experience in the field in which the company operates,
sufficient knowledge and appropriate experience in auditing and accounting as a suspended
Chartered Auditor Accountant and will compulsorily attend the meetings of the Committee
regarding the approval of the company's financial statements (President), Emmanouil Chatiras,
independent non-executive member of the Board of Directors (member), Theodoros
Chatzistamatiou, non-executive Vice-President of the Board of Directors (member).
The above appointment was announced at the next general meeting of the Company's
shareholders on 12.06.2023 (9th item on the agenda), which decided on the final assignment
of the status of independent non-executive member of the Company's board of directors to Mr
Eirinaios Theodorou, and was confirmed at following the decision of the Company's board of
directors from 13.06.2023
Subsequently, the audit committee, during the meeting of 14.06.2023, was reconstituted as
follows: Eirinaios Theodorou, President, independent non-executive member of the Company's
board of directors, Emmanouil Chatiras, Member, independent non-executive member of the
Company's board of directors, Theodoros Chatzistamatiou, Member, non-executive Vice-
President of the Company's Board of Directors.
The audit committee, according to its operating regulations, meets at least four (4) times a year.
During the financial year 2023, the audit committee held seventeen (14) meetings, and all its
members participated in all the meetings.
The following are the reports of the audit committee for the corporate year: 01.01.2023 –
31.12.2023:
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"Report of the Audit Committee
Corporate Fiscal Year 01.01.2023 - 31.12.2023
of the Ordinary General Meeting of the shareholders of the Societe Anonyme with the name
"SPACE HELLAS SOCIETE ANONYME TELECOMMUNICATIONS, INFORMATION AND SECURITY
SYSTEMS AND SERVICES - PRIVATE SECURITY SERVICES COMPANY"
April 2024
Dear Shareholders and representatives of the Company's shareholders,
On behalf of the Audit Committee of the Company and in my capacity as its Chairman, I submit
the current Report of the Committee for the period 01.01.2023 - 10.10.2023), within which I served
as Chairman of the Audit Committee, aiming to inform you about the work of the Committee
as to ensure its compliance of the Company with the current legislative and regulatory
"framework" governing its operation and the management of relevant risks.
Purpose & Composition of the Audit Committee
The purpose of the Audit Committee of the company "Space Hellas Societe Anonyme
Telecommunications, Information Technology, Security Systems and Services - Private Security
Services Company" (hereinafter the "Company") is the support of the Board of Directors in
matters of quality supervision and financial integrity and the financial statements, the
evaluation of the effectiveness of the internal control systems and the risk management as well
as the monitoring of the obligatory audit of the annual and consolidated financial statements
of the Company. Further analysis of the purpose of the Audit Committee is available in the Rules
of Procedure of the Audit Committee, which is posted on the Company's website:
(https://www.space.gr/el/corporate-governance-code).
The Rules of Procedure of the Audit Committee were drafted in accordance with the current
legislation and the requirements of the Capital Market (Law 4706/2020, Regulation (EU) No.
537/2014 of the European Parliament and of the Council of 16 April 2014 and the relevant
circulars of the Hellenic Capital Market Commission No. 1302 / 28.4.2017 and 1508 / 17.07.2020),
and was approved by the Board of Directors of the Company with its Decision of 16.07.2021
(Minutes of the meeting of 16.07.2021).
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154
The establishment and operation of the Audit Committee is governed by the provisions of article
44 of Law 4449/2017, Law 4706/2020, Regulation (EU) No. 537/2014 of the European Parliament
and of the Council of 16 April 2014 and the relevant circulars of the Hellenic Capital Market
Commission No. 1302 / 28.4.2017 and 1508 / 17.07.2020. According to the circular No. 427 /
22.2.2022 of the Hellenic Capital Market Commission, the Income Statement is issued together
with the annual financial report of the Company and is a distinct part of its content.
The Audit Committee is a committee of the Company's Board of Directors and consists of three
(3) members (non-executive members of the Company's Board of Directors, the majority of
whom are independent).
All the members of the Committee are non-executive members of the Company's Board of
Directors, who meet the eligibility criteria and two (2) of them are independent members who
meet the independence requirements of Article 9 of Law 4706/2020, on independent non-
executive members of the Board of Directors.
The Chairman of the Audit Committee is a suspended Certified Auditor and has demonstrably
sufficient knowledge in accounting and auditing and is required to attend the meetings of the
Committee regarding the approval of the Company's financial statements. All members of the
Audit Committee have sufficient knowledge of the industry in which the Company operates.
With the 34th Annual General Meeting of the Company's shareholders, the following persons
were elected as members, with a six-year term:
Name
Position in the Committee
Theodoros Th. Gakis
President, non-executive member
of the BoD
Emmanouil I. Chatiras
Member, non-executive member of
the BoD
Athanasios N. Patsouras
Member, non-executive member of
the BoD
Subsequently, after the resignation of the independent non-executive member of the
Company's Board of Directors and member of the Audit Committee, Mr Athanasios Patsoura,
as a member of the Board of Directors and by extension also of the Audit Committee, the
Company's Board of Directors with its decision as of 13.05.2021 and after examining the eligibility
criteria and independence conditions of article 44 of Law 4706/2020 and Articles 10 and 74 par.
4 of Law 4449/2017, as well as of the no. 1508/17-7-2020 of the Capital Market Commission's
circular appointed Mr Theodoros Chatzistamatiou, of Nikolaou, non-executive Vice-President of
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155
the Company's Board of Directors, as a new member of the Audit Committee, for the remainder
of the Committee's term, which coincides with that of the company's board of directors. This
election was announced at the 35th Ordinary General Meeting of the company's shareholders
on 17.06.2021.
With the decision of the 36th Annual General Meeting of the Company's shareholders of
22.06.2022 (item 8), the type, composition (number of members and attributes) and term of
office of the Company's Audit Committee were determined in accordance with articles 44 of
Law 4449/2017 and 74 par. 4b of Law 4706/2020 and specifically that: (a) the type of Audit
Committee to be a committee of the Board of Directors according to the Company's practice
until then, i.e. a committee consisting of non-executive members of the Board of Directors of
the Council (Article 44 par. 1 (aa) of Law 4449/2017, as applicable) the majority of which will be
independent (Article 44 Par. 1 (d) of Law 4449/2017, as applicable) (b) the composition of the
Audit Committee to be, according to the company's practice until then, three members (c) the
term of office of the members of the Committee to coincide with the term of office of the Board
of Directors of the Company, which is six years and exceptionally extended until the end of the
term, in which the next regular general meeting must be held and until the relevant decision is
taken, i.e. no later than September 10, 2026, subject to any repeat or postponed meeting.
Subsequently, due to the resignation of the independent non-executive member of the
Company's board of directors, Mr Theodoros Gakis, as a member of the board of directors and,
by extension, as a member of the audit committee, the company's board of directors with its
decision of 11.10.2022 ( as from 11.10.2022 minutes of the meeting), after having taken into
account the relevant recommendation of the remuneration and nominations committee of the
Company and its reasoning therein, with which all the members of the board of directors
agreed and the assumptions of which were adopted as such and in full, after verified and found
that the new member is independent in accordance with the provision of article 44 par. 1 item
(d) of Law 4449/2017 as he meets the independence criteria of Article 9 of Law 4706/2020 (as
verified by the administrative board of the company by virtue of its decision of 10.10.2022) and
confirmed, based on his CV and all the documents, statements and information obtained from
him, from the company internally and from external sources, that the new member meets the
other requirements defined by article 44 of Law 4449/2017, appointed as a new independent
member of the audit committee the independent non-executive member of the board of
directors of the company Mr Eirinaios Theodorou, until the next general meeting of the
Company's shares which will decide on the assignment of the status of independent non-
executive member to the aforementioned member elected by the board of directors, or the
assignment to another existing member or to a new member that the general meeting will elect,
in accordance with the provisions in force.
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156
Consequently, the Audit Committee at the meeting of 11.10.2022 was reconstituted into a body
as follows:
Name
Position in the Committee
Eirinaios G. Theodorou
President, non-executive member
of the BoD
Emmanouil I. Chatiras
Member, non-executive member of
the BoD
Theodoros N. Chatzistamatiou
Member, non-executive member of
the BoD
The above designation was announced at the next 37th Regular General Meeting of the
Company's shareholders on 12.06.2023 (9th item on the agenda), which decided on the final
assignment of the status of independent non-executive member of the Company's board of
directors to Mr Eirinaios Theodorou and was subsequently confirmed by the decision of the
Company's board of directors dated 13.06.2023.
Subsequently, the audit committee, during the meeting of 14.06.2023, was reconstituted in a
body as follows:
Name
Position in the Committee
Eirinaios G. Theodorou
President, non-executive member
of the BoD
Emmanouil I. Chatiras
Member, non-executive member of
the BoD
Theodoros N. Chatzistamatiou
Member, non-executive member of
the BoD
The term of office of the above members of the Audit Committee coincides with the term of
office of the Company's Board of Directors, which is six years and is exceptionally extended until
the end of the deadline, within which the next regular general meeting must be convened and
until the relevant decision is taken, i.e. no later than September 10, 2026, subject to any repeat
or postponed meeting.
Below are the CVs of the members of the Audit Committee
Eirinaios Theodorou, Independent Non-Executive Member
Born in Athens in 1982, Eirinaios Theodorou graduated from the Department of Management of
the University of Patras in 2005 with distinction from the IKY. Today, he is the Chairman of the
Board of Directors. and co-founder of FK Consulting Services SA. In 2008, he completed post-
graduate professional training at the Institute of Certified Public Auditors, and since 2016, he has
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been licensed to practice as a Chartered Auditor. Since 2009, he has been included in the
Registry of Internal Auditors of the Ministry of Finance and has served as head of Internal Audit
in large Organizations (OASA, ERT, IDIKA). He has held a Class A accountant's license since 2014.
In 2013 he obtained the "CRMA" certification from the International Institute of Internal Auditors.
He has been a lecturer in the field of accounting and taxation seminars as well as in the field of
internal controls manuals and evaluation of internal control systems in private training centers.
He has participated in more than 100 audit and consulting projects for both domestic and
international clients, covering a wide range of industry sectors (Technology &
Telecommunications, Manufacturing, Natural Gas, Real Estate, Shipping, Construction,
Hospitality & Leisure, Healthcare Facilities). He has led projects on company valuations, Mergers
& Acquisitions, and Strategic and Business Plans. In 2022, he joined the Board of Directors of
Space Hellas as an independent non-executive member and holds the position of Chairman of
the Audit Committee and member of the Remuneration and Nominations Committee.
Theodoros Chatzistamatiou, Vice President - Non-Executive Member
Mr Theodoros Chatzistamatiou was born in Athens on 3-7-1949. He is a graduate of the
Department of Mathematics of the University of Athens (1973) and of NCSR Democritus (degree
of Analysis and Programming (1973), while in the period 1975-1976, he studied analysis and
programming. In 1977, he served as Chief Payroll Officer in the Naval General Staff of the
Ministry of National Defense, with responsibility for planning and analysis. name: Hellenic
Informatics Systems SA, a subsidiary of ETVA and assuming the position of administrator of the
Mediterranean Integrated Program (IMP) IT achieved the absorption of IMP to reach 97% within
two years (from 13%). In 1993 he was secretary at the General Secretariat of Information Systems
of the Ministry of Finance. In the period 1994-1999, he held the position of director in the
Hydrographic Service. In the period 1999-2006, he was the president of ISCHYS A.E.L.D.E. In the
period 2000-2012, he was president and CEO of Master Hellas Consulting SA. In the period 2009-
2013, he was chairman of the board of directors of DEFKALION SA. He is the author of the book:
"Learning COBOL Language" (1982), and his articles have been published in industry and daily
press (1983-1992). He also has many years of educational experience in computer science, as
in the period 1981-1987 he was a professor of computer languages at the School of Computer
Programming of the Ministry of National Defense. He has participated in a number of complex
IT projects. He is fluent in English. From 17-03-2016, he was an independent non-executive
member of the Board of Directors of Space Hellas.
Emmanouil Chatiras, Independent Non-Executive Member
Manos Chatiras was born in Athens on 03-08-1977. He is a recognized executive with proven
know-how and business experience with significant financial success in London and New York.
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His experience in building new business ideas in multinational organizations gives him invaluable
knowledge of how international companies operate. Today, he is the CEO & Co-Founder of
CURITY PHARMA S.A. (former HEXO MED S.A.). He has over 15 years of experience in investment
management and financial experience. From 2009 to 2019 he excels at Deutsche Bank in
London. He started his career at Deutsche Bank as Head of Hedge Funds Research and
Investment at Corporate & Investment Bank. In 2013, he transferred to the capital management
department of Deutsche Bank as the Global Head of Hedge Funds. Since 2016, he has been
the Chief Executive Officer - Global Head of Multi-Asset Products at the Corporate & Investment
Bank of Deutsche Bank and a Member of the Executive Committee of Global Investment
Solutions. Under Mr. Chatiras' leadership, his team was directly responsible for managing $ 12
billion and had been repeatedly recognized as the Best Overall Investment Platform. Prior to
joining Deutsche Bank, he was Credit Agricole's Chief Research Officer for European Holdings
and a member of Credit Agricole's Investment Committee. He began his professional career in
2004 in New York as a hedge fund analyst at Lyra Capital LLC. During his financial career, he
was involved in most markets, including the IT market, having analyzed Hedge Funds
investments in the IT field. He is the author of academic and practical articles with papers
published by Wiley Publications as well as The Journal of Alternative Investments. He holds an
MBA from the University of Massachusetts in the USA. and a bachelor's degree in Economics
and IT Management from the University of Maine in the USA where he graduated with honors.
Operation of the Audit Committee
Without prejudice to the responsibility of the members of the administrative or management
body or other members elected by the general meeting of the shareholders of the audited
entity, the responsibilities of the Audit Committee are defined in paragraph 3 of article 44 of
Law 4449/2017 and more specifically:
a. informs the board of the audited entity about the result of the statutory audit and explains
how the statutory audit contributed to the integrity of the financial information and what the
role of the Audit Committee in that process,
b. monitors the financial reporting process and submits recommendations or proposals to
ensure its integrity,
c. monitors the effectiveness of the company's internal control, quality assurance and risk
management systems and, as the case may be, its internal control department, with regard to
the audited entity's financial information, without infringing the independence of this entity,
d. monitors the mandatory audit of the annual and consolidated annual financial statements
and in particular, its performance, taking into account any findings and conclusions of the
competent authority in accordance with par. 6 of article 26 of Regulation (EU) no. 537/2014,
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e. oversees and monitors the independence of certified public accountants or audit firms in
accordance with articles 21, 22, 23, 26 and 27, as well as article 6 of Regulation (EU) no. 537/2014
and, in particular the appropriateness of the provision of non-audit services to the audited entity
in accordance with article 5 of Regulation (EU) no. 537/2014,
f. is responsible for the selection process of certified public accountants or auditing firms and
proposes the certified public accountants or auditing firms to be appointed in accordance with
Article 16 of Regulation (EU) no. 537/2014 unless par. 8 of Article 16 of Regulation (EU) no.
537/2014.
The responsibilities of the Audit Committee are analyzed in Article 4 of its Operating Regulations.
Meetings of the Audit Committee
Within its responsibilities in accordance with the existing legislation and its Operating
Regulations, the Audit Committee meets regularly at least four (4) times a year, i.e. every three
months, or on an extraordinary basis if the need arises, upon invitation by the President. In
particular, the Audit Committee has the express right to meet as often as it deems necessary to
fulfill its duties.
In the year 2023, fourteen (14) meetings of the Committee were held. The meetings were held
on the issues falling within the areas of competence of the Committee, with an emphasis on
the following issues: a) Financial Reporting, b) External Audit, c) Internal Audit, d) Corporate
Governance and e) Other issues related to the responsibilities her. In all the meetings, three (3)
proposals were made to the Company's Board of Directors.
In all of the fourteen (14) meetings of the Audit Committee, nineteen (19) issues were discussed
and decisions were made. Of these, ten (10) concerned Internal Audit, three (3) External Audit,
four (4) Financial Reporting and two (2) Corporate Governance.
The Audit Committee monitors and updates after each meeting the annual Meeting Plan,
which includes, for example:
· Approving the annual program of the Internal Audit Unit and monitoring its execution – Audit
Reports.
· Monitoring, examination and evaluation of the preparation process of the financial
information.
· Monitoring the effectiveness of the Internal Control System, mainly through the work of the
Internal Control Unit and the work of the Certified Auditor.
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· Overview of the main accounting assumptions for the Company's Financial Statements, at an
individual and consolidated level.
· Proposal to appoint a Certified Public Accountant.
· Timetable for drafting the financial information (updated by the Management).
· Review of financial reports prior to their approval by the Board of Directors.
· Audit Committee’s Annual Report.
The above works have been adequately executed during 2023
The Audit Committee within the financial year 2023 held seven (7) meetings related to the
reports of the Internal Audit Unit and the approval of the Financial Statements of the financial
year 2022 and the first half of the financial year 2023, as well as the approval of the evaluation
of the Corporate Governance System Governance in accordance with article 4, par. 1 of Law
4706/2020 carried out by external consultants (AMID).
During the 2023 fiscal year, the Audit Committee held four (4) meetings with the Certified Public
Accountants (CPAs) for the audit issues of the Company's Financial Statements on an individual
and consolidated level for the 2022 fiscal year.
Specifically, the following issues were discussed in detail:
- Investments in companies: i) impairment testing, ii) performing goodwill impairment
testing, iii) intangible assets, iv) revenue recognition, v) impairment of receivables and
vi) deferred tax assets
- The audit instructions sent by the Certified Auditor Accountant of the parent company
to the Certified Auditor Accountants of the Group's subsidiaries for the year 2022.
The Audit Committee carried out its tasks with full operational autonomy under the guidance
of its President, who is responsible for convening the meetings and defining the topics which will
be included in the agenda.
All members of the Audit Committee participated in all the meetings, and in each case, the
relevant minutes were kept. Depending on the topic of the meetings and as the case may be,
the Certified Public Accountants, the Head of the Internal Audit Unit as well as the Company's
Executives who are in charge of the administration and management of the company's work,
affairs and activities were invited and participated, in order to provide the necessary
information and clarifications. All decisions of the Committee were taken unanimously.
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Financial Statements - Financial Information procedures
The Audit Committee was informed in detail by the Company's Financial Department and the
Certified Public Accountant on the Company's Financial Statements, on an individual and
consolidated level, which were prepared in accordance with IFRS for the year ending on
December 31, 2022. During the same presentation, the Audit Committee was also informed of
the main accounting assumptions adopted by the Company for the preparation of the
Financial Statements and of the main issues that occupied the Finance Department during the
preparation of these statements. Also, the Audit Committee evaluated the actions for the
preparation process of the Financial Statements without finding any significant findings. The
Audit Committee recommended the approval of these Financial Statements by the Board.
The Audit Committee was also informed by the Company's Financial Department and the
Certified Public Accountant on the Company's Condensed Interim Financial Statements, on an
individual and consolidated level, which were prepared in accordance with IFRS for the period
01.01.2023 to 30.06.2023. During the same presentation, the Audit Committee was again
informed about the main accounting assumptions adopted by the Company for the
compilation of the Condensed Interim Financial Statements, which do not differ from those
adopted by the Company in 2022. Also, the Audit Committee took into account and examined
the most important issues and risks related to the Financial Statements and the significant
judgments and estimates of the Management during their preparation, as illustrated in the
supplementary report of the Certified Auditors to the Audit Committee. The Audit Committee
recommended the approval of the Interim Financial Statements by the Board.
In addition, the Audit Committee examined and evaluated thoroughly, in cooperation with the
Statutory Auditors (as mentioned above/below), important issues for the Company, such as:
• The use of the going concern assumption.
• Significant judgments, assumptions and estimates during the preparation of the Financial
Statements.
• Valuation of assets at fair value.
• Assessment of recoverability of assets.
• Adequacy of disclosures about the significant risks faced by the Company.
• Revenue Recognition
• Impairment of Claims
• Recoverability of deferred tax assets
• Significant related party transactions.
• Significant unusual transactions
Finally, we point out that the schedule for compiling the financial information was respected by
the Management.
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For the Company's Financial Statements, on an individual and consolidated level, which were
drawn up in accordance with IFRS for the year ending on December 31, 2023, the Audit
Committee recommended their approval by the Board of Directors, with the minutes of
23/04/2024 , carrying out the prescribed procedure in accordance with the mentioned actions
carried out on the Financial Statements of the year 2022.
Internal Control Unit - Internal Control System (ICS) and Risk Assessment/Management
Procedures
The Internal Audit Unit is staffed by the Internal Auditor/Head of the Internal Audit Unit, who has
international professional certifications and significant experience as an Internal Audit
consultant in Public and Private Sector Companies.
The Head of the Internal Audit Unit submitted to the Committee the annual audit plan for the
year 2023 and the Committee, in cooperation with the Head of the Internal Audit Unit,
constantly monitored its execution.
At the Committee meeting of 21.12.2023, an evaluation of the Head of the Internal Audit Unit
for the year 2023 was carried out based on a specially designed questionnaire, from which a
sufficient, unanimously agreed by all Committee members, for the professionalism and
consistent work he demonstrated in use 2023.
On the reports of the Internal Audit Unit, their findings were made available to the Board of
Directors, which acted accordingly to restore the findings, with an emphasis on those
characterized as high and medium risk.
Finally, the Audit Committee received the semi-annual and annual report from the Risk
Management Unit, which indicate the most important risk areas to be taken into account in the
process of drawing up the Unit's Annual Control Plan for the year 2024.
Evaluation of Internal Control System
With the relevant assignment letter (dated April 14, 2022), following the 31.03.2022 decision of
the Company's Board of Directors, the Company's Board of Directors assigned to AMID
Corporate Governance, Internal Controls & Internal Audit Services I.K.E. the assessment of the
adequacy of the Company's Internal Control System, in accordance with the provisions of Law
4706/2020, the relevant decisions of the Accounting Standardization and Audit Committee
(ELTE) and decision 1/891 of the Capital Market Commission. The evaluation concerns the
period from July 17, 2021, to December 31, 2022. The scope of the evaluation was decided by
the Company's Board of Directors and exclusively concerned the parent Company.
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In application of the relevant decision of the Capital Market Commission, upon completion of
the evaluation, the "ICS Evaluation Results Report" was received, which contains: A. The
Summary Evaluation Report of the Adequacy and Effectiveness of the ICS, which includes the
summary of the result, the time of its compilation, the reference date of the evaluation and the
period covered by the Evaluation Report. The summary also includes the evaluators' conclusion
regarding the adequacy and effectiveness of the Internal Control System. The summary report
is included in section 2 of this report and has been given separately as an independent text by
the Evaluator and B. The Analytical Report on the Assessment of the Adequacy and
Effectiveness of the ICS includes all the weaknesses that have arisen from the work of the
evaluators, which do not constitute material weaknesses.
On March 24, 2023, the Company received the Evaluation Report of the Internal Control System,
in which, based on the work, regarding the evaluation of the adequacy and effectiveness of
the Company's ICS, with a reference date of December 31, 2022, it has not come to the
attention of the evaluators anything that could be considered as a material weakness of the
Company's ETS, according to the Regulatory Framework.
External audit – Statutory Auditors
The statutory audit carried out by CPA contributed to the quality and integrity of the financial
information through the audit planning and risk assessment procedures, which resulted in
specific applicable audit procedures.
The Audit Committee held four (4) meetings with the OELs. The first meeting was held on
February 7, 2023, to inform the EU on the audit issues of the Financial Statements for the year
2022 and, more specifically: a) quality assurance and independence of OEL, b) governance of
the project (composition of the working group), c) audit purpose and schedule, d) audit
approach (phases, planning, risk assessment), e) methods of measuring assets and liabilities,
other accounting principles and policies, going concern and other matters and f) audit of
consolidated Financial Statements. The second meeting took place on February 23, 2023, in
order to communicate the reactions (audit procedures and audit approach) to the assessed
risks and the results of the audit procedures performed. The third took place on 28 March 2023
to present the results of the audit, the finalization of the audit report and the supplementary
audit report. The fourth took place on September 27, 2023, regarding the preparation of the
Financial Statements for the period 01.01.2023 to 30.06.2023 and the information included
therein.
The Audit Committee worked closely with the Statutory Auditor in order to assess the "high" risk
areas and to develop audit procedures to ensure the quality and integrity of the financial
information.
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More specifically, the following were characterized as "high" risk areas:
• Investments in companies: impairment testing
• Goodwill: impairment control
• Intangible assets
• Revenue recognition
• Impairment of receivables
• Deferred tax assets
From the audit work carried out by the OEL, no cases of significant uncorrected errors were
identified which could be assessed as material in order to form a basis for the differentiation of
the opinion.
In section 13 of the supplementary report "Weaknesses of the CEE", the following is stated: "No
significant weaknesses were identified in the Company's internal control system. Some
procedures for monitoring tax issues, mainly expenses, need better planning in order to achieve
the gathering of the required evidence faster".
The Audit Committee, with its minutes of 22/05/2023, proposed to the Board of Directors the re-
appointment of the Auditing Company PKF HELLAS as Statutory Auditor for the audit of the
Financial Statements of the Company and the Group for the year ending on December 31,
2023. After undertaking the audit, the OEL informed in a letter to the Audit Committee as they
should according to the International Auditing Standards (IAS) for :
• their independence,
• their design (audit approach) against the most important risks - as they have been identified
by their preliminary assessment,
• the intended timetable for their work and
• the amount of their fees and for any other services.
The Statutory auditors presented to the Audit Committee their reports on the audit they carried
out on the Financial Statements of the Company and the Group for the year 2022 and on their
review of the Condensed Interim Financial Statements of the Group for the 1st half of 2023. The
main issues during their work were discussed.
They also presented to the Audit Committee their special supplementary report, as provided for
by the legislation (L. 4449/2017 and Regulation (EU) No. 537/2014), regarding their audit of the
Financial Statements of the Company and the Group for the year ending December 31, 2022.
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Finally, the Audit Committee, with the minutes of 26/05/2023, proposed to the Board of Directors
the re-election of the Audit Company PKF HELLAS after evaluating its financial and technical
offer for the fiscal year ending on 31/12/2023.
Meetings with Company Executives and other matters
The Audit Committee met with managers and members of the Company's Board of Directors
and was informed about the progress of the Company's operations. He was informed by the
Financial Director of the Company and the Group about the procedures for the preparation of
the Financial Information for the preparation of the 2023 annual Financial Statements.
Sustainable Development Policy
Sustainable Development is an integral part of SPACE HELLAS' business strategy, and its
principles are integrated into its operations. The Company's Management estimates that it has
sufficient resources to ensure the smooth continuation of its operation as a "Going Concern" in
the foreseeable future.
In the context of its operation, the Company places special emphasis on issues of economic
development, as well as the environment, human resources and society, in accordance with
its values, i.e. responsibility, integrity, transparency, efficiency and innovation. More specifically,
the Company invests in research and continuous improvement of its products and services as
well as in the design and development of new ones in order to cover the most specialized needs
and requirements of its customers.
The Company ensures the smallest environmental impact of its activities and uses the best
available techniques and the most modern systems of environmental protection,
management, and energy saving.
In terms of human resources, the Company operates with respect for internationally recognized
human rights and implements policies of fair pay based on the merits and equal opportunities
for all its human resources while supporting and making no distinction in terms of diversity. To
this end, the Company has signed the Diversity Charter of Greece, which aims to act as a
means of commitment for the implementation of equal opportunities and diversity in Greece
and has joined the Diversity Charter Greece (https://diversity -charter.gr/signatories/).
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At the same time, it offers equal opportunities for development through continuous training and
systematic evaluation. It consistently implements a long-term strategy, focusing on fundamental
priorities such as attracting, training and retaining qualified human resources.
The Company encourages the exchange of ideas, opinions and information between
employees, adheres to the legislation for the protection of personal data and demonstrates
zero tolerance for malicious or offensive behavior of intimidation and harassment in the
workplace, with the aim of creating a working environment and conditions, which they help to
optimize the efficiency of the employees and, by extension, the sustainability of the Company.
For this purpose, the Company has a Policy for Combating Violence and Harassment and for
the Management of Internal Complaints (in accordance with articles 9 and 10 of Law 4808/2021
and the applicable regulatory legislation, YA 82063/22- 10-2021 of the Ministers of Education
and Religious Affairs and Tourism – Official Gazette 5059B/01-11-2021 which covers the persons
of paragraph 1 of article 3 of Law 4808/2021), which is notified to every employee and is freely
accessible from all employees and posted on the company's website. The Company strives to
provide its people with a unique work experience, earn their loyalty and provide incentives that
will push them to give their best and develop their potential.
Space Hellas implements an integrated and certified Health and Safety management system
in the Workplace which is designed to minimize risks, take continuous measures to prevent
accidents and occupational diseases, continuously train employees as well as strengthen the
work culture. The Health & Safety Management System in the workplace is certified according
to the international standards OHSAS 18001 new version ISO 45001:2018.
The Company, with awareness and within the spirit of Corporate Social Responsibility, operates
with responsibility towards people, society and the environment, voluntarily undertaking
commitments that exceed the limits of common regulatory and contractual requirements,
which are respected in any case. Closely linked to the Company's mindset is the active concern
for people both on a business and social level. Future-oriented, it embraces diversity and
reinforces in every way the feeling of fair treatment.
Space Hellas - for an environmentally responsible operation - has developed and implements
an Environmental Management System according to the international standard ISO
14001:2015, for which it has been certified by independent internationally recognized
certification bodies in Athens, Thessaloniki and other facilities. All environmental risks are
identified and assessed annually, and appropriate measures are taken to minimize them to an
absolutely low and tolerable level.
The management of the Group estimates that the Company and the Group have sufficient
resources that ensure the smooth continuation of their operation as a "Going Concern" in the
foreseeable future.
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The Audit Committee has obtained reasonable assurance that the Company's Management
acts responsibly, respects the rules of the market, offers high-quality services, places
relationships of trust with its customers, suppliers, and partners at the center of its interest, and
seeks the return of the greatest possible profit to its shareholders, always within the framework
of responsible entrepreneurship and sustainable development.
In carrying out its work, within the aforementioned period, the Audit Committee had
unhindered and full access to all the information that was necessary and at the same time had
the necessary infrastructure and resources for the effective exercise of its duties and the
implementation of its work. Within the framework of its responsibilities, it will continue to
contribute to the smooth adaptation of the Company to the new, upgraded, but also very
demanding framework that was established regarding Corporate Governance.
The Chairman of the Audit Committee
Eirinaios Theodorou
Remuneration and Nominations Committee
The Remuneration and Nominations Committee (hereinafter the "Committee") was established
in July 2021 in accordance with Law 4706/2020 on corporate governance, the Greek Code of
Corporate Governance 2021 and the decision of 16-07-2021 of the Board of Directors.
Company.
It is a single committee of the Board of Directors of the Company (as provided by article 10 par.
2 of law 4706/2020 and in accordance with the decision of 16-07-2021 of the Board of Directors
of the Company) and consists of at least three (3) non-executive members of the board of
directors, of which at least two (2) are independent non-executive members. In any case, the
majority of the members of the committee consist of independent non-executive members,
while the chairman of the committee is appointed as an independent non-executive member.
The term of office of the members of the committee is proportional to that of the board of
directors and in case of resignation of a member, in its place, a new member is appointed by
a decision of the board of directors of the company for the remainder of the term of the
committee. The participation in the committee does not exclude the possibility of participation
in any other committees of the Board of Directors of the Company.
The purpose of the committee is to assist in the good, efficient and transparent management
of the company through, mainly, the exercise of the following responsibilities:
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(a) on the one hand, the search for suitable persons to become members of the board of
directors on the basis of the selection procedure in Article 2 of the Rules of Procedure and taking
into account the criteria set out in the company's suitability policy; and
b) on the other hand, the formulation of proposals to the board of directors regarding (a) the
remuneration policy submitted for approval to the general meeting of shareholders of the
company in accordance with article 110 par. 2 of law 4548/2018, (b) remuneration persons
within the scope of the remuneration policy as well as the management of the company, in
particular the head of the internal control unit, and (c) the examination of the information
contained in the final draft of the annual remuneration report, giving its opinion to the board of
directors of the company before the submission of the report to the general meeting of the
shareholders of the company, according to article 112 of law 4548/2018.
In addition to the above, the committee may fulfill any other responsibilities assigned to it by
the Regulations, the Internal Rules of Operation of the company and the Suitability Policy of the
company or the current legislation (such as, by way of law L.4706 / 2020 as well as the all types
of legislation issued by its authorization and implementing legislation and Law 4548/2018).
The individual responsibilities of the committee and the procedures for fulfilling its purpose are
described in its operating regulations approved by the board of directors (from the 16-07-2021
decision), which is posted on the company's website: https://www.space.gr/el/corporate-
governance-code.
With the decision of 16-07-2021 of the board of directors, the members of the committee were
appointed Messrs. Theodoros Chatzistamatiou (non-executive Vice President of the Board of
Directors of the Company), Theodoros Gakis (independent non-executive member of the
Board of Directors of the Company) and Emmanouil Chatiras (independent non-executive
member of the Board of Directors of the Company), and then the 19 -7-2021 meeting, was
formed as follows: Emmanouil Chatiras (Chairman, independent non-executive member of the
Board of Directors of the Company), Theodoros Gakis (Member, independent non-executive
member of the Board of Directors of the Company), Theodoros Chatzistamatiou, (Member ,
non-executive Vice President of the Board of Directors of the Company).
Subsequently, due to the resignation of the independent non-executive member of the
Company's board of directors, Mr. Theodoros Gakis, as a member of the board of directors and
consequently as a member of the remuneration and nominations committee, the board of
directors with its decision of 11.10.2022 (as of 11.10.2022 minutes of the meeting), after
unanimously accepting the relevant recommendation of the remuneration and nominations
committee of the Company and after taking into account the regulation of the remuneration
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and nominations committee, appointed as a new member of the remunerations and
nominations committee Mr. Eirinaios Theodorou, independent non-executive member of the
Company's board of directors, replacing Mr. Theodoros Gakis, until the next general meeting of
the company's shares, which will decide on the assignment of the status of independent non-
executive member to the new member elected by the board of directors either to another
existing member or to a new member that the general meeting will elect. The remuneration
and nominations committee, during the meeting of 11.10.2022, was reconstituted into a body
as follows: Emmanouil Chatiras, President, independent non-executive member of the
Company's board of directors, Theodoros Chatzistamatiou, Member, non-executive Vice-
President of the Company's board of directors, Eirinaios Theodorou, Member, independent non-
executive member of the Company's board of directors.
The above appointment was announced at the next general meeting of the Company's
shareholders on 12.06.2023 (9th item on the agenda), which decided on the final assignment
of the status of independent non-executive member of the Company's board of directors to
Mr. Eirinaios Theodorou, and was confirmed at following the decision of the Company's board
of directors from 13.06.2023.
Subsequently, the remuneration and nominations committee, during the meeting of 14.06.2023,
was reconstituted in a body as follows: Emmanouil Chatiras, President, independent non-
executive member of the Company's board of directors, Theodoros Chatzistamatiou, Member,
non-executive Vice-President of the Company's board of directors, Eirinaios Theodorou,
Member, independent non-executive member of the Company's board of directors.
According to its operating regulations, the committee meets at least once a year, as well as
whenever deemed necessary by its president or any other member.
During the fiscal year 2023, three (3) committee meetings were held and all of its members
participated in all meetings.
The following is the Proceedings Report of the Remuneration and Nominations Committee, for
the corporate year: 01.01.2023 – 31.12.2023:
"Report of Proceedings of the Remuneration and Nominations Committee
for Financial year 01.01.2023 – 31.12.2023
Athens, April 3, 2024
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Dear Board Members,
This report of the activities of the Remuneration and Nominations Committee for the fiscal year
2023 (01.01.2023 – 31.12.2023) is submitted in accordance with the Commission's Operating
Regulations and document no. 425/21/02/2022 of the Capital Market Commission and its
decision No. 1/891/2020, and aims to inform you about the Commission's work during the 2023
financial year.
In 2023, the committee held three (3) meetings, including the meeting to submit to the board
of directors its report of activities for the fiscal year 2022, in which all its members participated.
The meetings were held on the issues falling within the areas of competence of the Committee
and concerned:
(I) In formulating a proposal to the management, in accordance with article 11 point (b) of Law
4706/2020 and the company's Remuneration Policy, regarding the remuneration of the persons
who fall within the scope of the Remuneration Policy in accordance with article 110 of Law
4548/2018 (from 26-05-2022 meeting).
(I) In the examination, according to sec. c) of article 11 of Law 4706/2020, the information
contained in the final draft of the annual remuneration report for the corporate year 2022
(01.01.2022-31.12.2022) and the wording of the Commission's agreement to the board of
Directors of the company, before the submission of the remuneration report to the general
meeting of the company's shareholders on 12.06.2023 for discussion and provision of an advisory
vote (from 22-05-2023 meeting, topic 1).
(II) Formulating a proposal on the company's new remuneration policy before submitting it to
the regular general meeting of the company's shareholders on 12.06.2023 and providing an
opinion to the company's board of directors (from the 22-05-2023 meeting, topic 2 ).
In particular, the agenda of the 37th regular general meeting of the company's shareholders
on 12.06.2023 included (7th agenda item) the submission for approval of the new remuneration
policy due to the lapse of four (4) years since its last approval in accordance with the article
110 par. 2 sec. 2 n. 4548/2018. The Committee, in accordance with its operating regulations and
corporate governance and before submitting the new remuneration policy to the
aforementioned general meeting of the company's shareholders, proposed to the company's
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board of directors to update the remuneration policy in certain areas in accordance with the
legislation on corporate governance put into effect after its establishment, and in order to
respond to market practice and the working environment as it has been shaped by the market.
(III) In the reconstitution of the Committee as a body, following the decision of the company's
board of directors dated 13.06.2023, following the decision of the regular general meeting of
the company's shareholders on 12.06.2023 (9th agenda item), which confirmed the
appointment of Mr. Eirinaios Theodorou of Georgiou, an independent non-executive member
of the company's board of directors, as a member of the company's remuneration and
nominations committee, definitively and for the remainder of the Committee's term, which is
identical to that of the company's board of directors (from 14-06-2023 meeting).
In carrying out its work, the Remuneration and Nominations Committee had unhindered and
full access to all the necessary information and, at the same time, had the necessary
infrastructure and resources for the effective exercise of its duties and the implementation of
its work. As part of her responsibilities, she will continue to contribute to the smooth, legal and
uninterrupted operation of the company in accordance with corporate governance and
applicable legislation.
The President of the Remuneration and Nominations Committee
Emmanoul Chatiras
D. General Meeting - Shareholders' rights.
The mode of operation of the general meeting of shareholders.
The general meeting is the supreme body of the Company and is entitled to decide on each
corporate case in accordance with Law 4548/2018. Its decisions also bind the absent or
dissenting shareholders. The general meeting is the only one competent to decide on the issues
mentioned in Article 117 of Law 4548/2018, including the amendment of the Company's Articles
of association.
The general meeting of shareholders must meet at the registered office of the Company or in
the district of another municipality within the prefecture of the registered office or other
neighboring municipality or in the district of the municipality where its registered office is located
at least once each corporate year no later than the tenth (10th ) calendar day of the ninth
month after the end of the financial year.
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The invitation to convene the general meeting is also published on the Company's website and
is made public in a way that ensures rapid and non-discriminatory access to it, by means that
in the judgment of the Board of Directors are considered reasonably reliable, for effective
dissemination of information to the investor. public, in particular through national and pan-
European print and electronic media. The Company may not impose on shareholders a special
charge for the publication of the invitation to convene the general meeting in any of the above
ways.
The convening of the general meeting shall include at least the exact address, date and time
of the meeting, clear agenda items, eligible shareholders, and precise instructions on how
shareholders will be able to attend. to attend the meeting and to exercise their rights in person
or by proxy or, where appropriate, remotely, as well as information on at least:
a) the rights of the shareholders of paragraphs 2, 3, 6 and 7 of article 141 of law 4548/2018, with
reference to the deadline within which any right can be exercised, or alternatively, the deadline
by which the rights can be these to be exercised. Detailed information about these rights and
the conditions for exercising them should be available by explicitly referring to the invitation on
the Company's website,
b) the procedure for exercising the voting right through a representative and, in particular, the
forms he uses for this purpose, the Company, as well as the means and methods provided in
the articles of association, according to paragraph 5 of article 128 of law 4548/2018, for the
Company to receive electronic notifications of appointment and withdrawal of
representatives, and c) the procedures for the exercise of the right to vote by correspondence
or by electronic means, if there is a case according to the provisions of articles 125 and 126 of
law 4548/2018,
Also, the invitation determines the date of registration, as provided in paragraph 6 of article 124
of law 4548/2018, noting that only persons who are shareholders on that date have the right to
participate and vote in the general meeting, notifies the place to which is available the full text
of the documents and draft decisions, provided in paragraph 4 of article 123 of law 4548/2018,
as well as the way in which they can be obtained, and indicates the address of the Company's
website, where the information of paragraphs 3 and 4 of article 123 of law 4548/2018 is
available.
If for technical reasons, the above data can not be accessed via the Internet, the Company
points out on its website how to supply the relevant forms in paper form and sends them by post
and free of charge to any shareholder who requests it.
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In order to enhance the transparency in the information of the shareholders, a summary of the
challenge of the general meeting is published in the Communication System "HERMES" because
it is reasonably reliable and has a pan-European scope.
The rights of the shareholders before the general meeting.
Ten (10) days before the regular general meeting, the Company makes available to its
shareholders its annual financial statements, as well as the relevant reports of the board of
directors and auditors. The Company fulfils its obligation by posting the relevant information on
its website.
From the day of publication of the invitation for convening the general meeting until the day
of the general meeting, at least the following information is posted on the Company's website:
a) The invitation to convene the general assembly,
b) The total number of shares and voting rights that the shareholders incorporate at the date of
the invitation, indicating separate totals per category of shares,
(c) Forms to be used for voting by proxy or representative and, where applicable, for mail-order
voting and electronic voting, unless such forms are sent directly to each shareholder.
d) The documents to be submitted to the general meeting, a draft decision on each item of
the proposed agenda or, if no decision has been proposed for approval, a comment of the
board of directors, as well as the draft decisions proposed by the shareholders, in accordance
paragraph 3 of article 141 of law 4548/2018, immediately after their receipt by the Company.
Those entitled to participate in the general assembly.
The person who has the shareholder status at the beginning of the fifth day before the day of
the initial meeting of the general meeting (registration date) can participate in the general
meeting (initial meeting and recurring). The above recording date is also valid in case of
postponement or repeated meeting, provided that the postponed or repeated meeting is not
more than thirty (30) days from the recording date. If this does not happen or if for the case of
the repeated general meeting a new invitation is published, in accordance with the provisions
of article 130 of law 4548/2018, the person who has the shareholder status at the beginning of
the third day before participates in the general meeting. on the day of the adjourned or
repeated general meeting. Proof of shareholder status can be done by any legal means and
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in any case based on information received by the Company from the central securities
depository, if it provides registry services or through the participating and registered
intermediaries in the central securities depository in any other case.
The shareholder participates in the general meeting and votes in person or through a
representative. Each shareholder can appoint up to three (3) representatives. However, if the
shareholder holds shares of the Company, which appear in more than one securities account,
this restriction does not prevent the shareholder from appointing different representatives for
the shares appearing in each securities account in relation to a certain general meeting. The
power of attorney is freely revocable. A representative acting for more than one shareholder
may vote differently for each shareholder.
The shareholder may appoint a representative for one or more general meetings and for a
certain period of time. The representative votes, according to the instructions of the
shareholder, if they exist and archives the voting instructions for at least one (1) year, from the
date of the general meeting or, in case of its postponement, of the last repeat meeting in which
he used the power of attorney. Any non-compliance of the representative with the instructions
he has received does not affect the validity of the decisions of the general meeting, even if the
vote of the representative was decisive for the achievement of the majority.
The shareholder representative is obliged to notify the Company, before the beginning of the
general meeting, of any specific event that may be useful to the shareholders in assessing the
risk that the agent will serve interests other than the shareholder.
Within the meaning of the above paragraph, a conflict of interest may arise, in particular when
the agent:
a) Is a shareholder who exercises control of the Company or is another legal entity or entity
controlled by that shareholder,
b) Is a member of the board of directors or in general, of the management of the Company or
shareholder who exercises control of the Company or another legal entity or entity controlled
by a shareholder who exercises control of the Company,
c) Is an employee or auditor of the Company or shareholder who exercises control of the
Company or another legal entity or entity controlled by a shareholder who exercises control of
the Company,
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d) He is a spouse or first-degree relative with one of the natural persons mentioned in cases a΄
to c΄ above.
The appointment and revocation or replacement of the shareholder's representative or
representative is made in writing or by electronic means and is submitted to the Company at
least forty-eight (48) hours before the scheduled date of the meeting.
The appointment, revocation, or replacement of the shareholder's representative or
representative is made in writing or by electronic means and submitted to the Company at
least forty-eight (48) hours before the scheduled date of the meeting.
The Board of Directors is obliged to register in the list of persons entitled to vote at the general
meeting all shareholders who complied with the provisions of Law 4548/2018. If it did not comply
with the above regulations, the said shareholder participates in the general meeting only after
its permission.
Quorum.
The general meeting is in quorum and meets validly on the issues of the agenda when
shareholders or representatives representing at least one-fifth (1/5) of the paid-up capital are
present or represented.
If this quorum is not reached, the general meeting meets again within twenty (20) days from the
date of the cancelled meeting, following an invitation published at least ten (10) full days ago.
At this recurring meeting, the general meeting is in quorum and meets validly on the issues of
the original agenda, whatever part of the paid-up capital is represented in it. A newer invitation
is not required if the place and time of the re-meeting had already been specified in the original
invitation, provided that there is at least five (5) days between the canceled meeting and the
re-meeting.
Exceptionally, in the case of decisions concerning the change of the Company's nationality,
the change of the object of this business, the increase of the shareholders' liabilities, the regular
capital increase, unless required by law or made by capitalization of reserves, the reduction of
the capital, unless it is done, according to paragraph 5 of article 21 of law 4548/2018 or
paragraph 6 of article 49 of law 4548/2018, the change of the way of distribution of profits, the
merger, division, conversion , revival, extension or dissolution of the Company, the provision or
renewal of authority to the board of directors to increase capital, in accordance with
paragraph 1 of article 24 of law 4548/2018, as well as in any other case defined by law that the
general meeting decides with an increased quorum and majority, the assembly is in quorum
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and meets validly on the issues of the original agenda, when they are present or represented
in shareholders representing half (1/2) of the paid-up capital.
In the case of the previous paragraph, if the quorum of the last paragraph is not reached, the
general meeting is convened and meets again, in accordance with paragraph 2 of this section,
and is in quorum when shareholders representing one-fifth are present or represented. (1/5) at
least of the paid-up capital. A newer invitation is not required if the place and time of the re-
meeting had already been specified in the original invitation, provided that there are at least
five (5) days between the cancelled meeting and the re-meeting.
V. The procedure of the general meeting:
The general meeting is convened by the board of directors, which determines the agenda with
a decision taken at its meeting in the application of the provisions of law 4548/2018 and the
Company's articles of association.
Until the election of its chairman, which is done by a simple majority, the general assembly is
chaired by the chairman of the board of directors or his deputy. The chairman of the assembly
may be assisted by a secretary and a voter, who shall be elected in the same manner. The
chairman checks the regularity of the composition of the general assembly, the identity and
legitimacy of those present, and the accuracy of the minutes, directs the debate, puts the
issues to a vote and announces the result of the latter. The non-election or the illegal election
of the president, as well as the non-observance of the above formalities, do not affect the
validity of the decisions of the general assembly if there are no other defects of these.
The general meeting is attended by the chairman of the board of directors, the managing
director, the financial director, executives of the corporate structure of the Company or the
legal advisors, as the case may be, the internal auditor, the chairman and / or the members of
the audit committee and the regular or an alternate statutory auditor of the Company's
statements and, if required, provide information and briefing on matters of their competence
that are put up for discussion and answer shareholders' questions on these matters.
The chairman of the general meeting may, under his responsibility, allow the presence in the
meeting of other persons who do not have shareholder status or are not representatives of
shareholders insofar as this is not against the corporate interest. These persons are not
considered to participate in the meeting just because they received the floor on behalf of a
shareholder present or at the invitation of the chairman.
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The chairman of the general meeting has the necessary time for the shareholders to ask
questions if they wish.
The decisions of the general meeting are limited to the items on the agenda unless the
shareholders representing the entire share capital are present in person or are represented by
a proxy, and no shareholder objects to the discussion and decision on other issues.
The minutes of the general assembly.
The discussions and decisions taken at the general meeting are recorded in a summary in a
special minutes book. A list of shareholders who were present or represented at the general
meeting is also registered in the same book. At the request of a shareholder, the chairman of
the general meeting is obliged to record in the minutes a summary of his opinion. The chairman
of the general meeting has the right to refuse the registration of an opinion if it refers to issues
that are obviously out of the agenda or its content is clearly contrary to good morals or the law.
Principle of equality.
With the exception of the shares issued, according to paragraph 4 of article 38 of law 4548/2018,
each share provides voting rights. All the rights of the shareholders deriving from the share,
subject to the provisions of article 38 of law 4548/2018, are mandatory depending on the
percentage of capital represented by the share. In the case of several classes of shares, the
principle of equality applies to all shares of the same class.
The Company ensures equal treatment of all shareholders in the same position.
The publication of the results of the voting of the general assembly.
The Company publishes on its website, under the responsibility of its board of directors, the results
of the voting within five (5) days no later than the date of the general meeting, specifying for
each decision at least the number of shares for which valid votes were cast, the proportion of
the share capital represented by these votes, the total number of valid votes, as well as the
number of votes for and against each decision and the number of abstentions. The invitation
to convene the general meeting is also published on the Company's website and is made
public in a way that ensures rapid and non-discriminatory access to it by means that, in the
judgment of the Board of Directors, are considered reasonably reliable, for effective
dissemination of information to the investor. public, in particular through national and pan-
European print and electronic media. The Company may not impose on shareholders a special
charge for the publication of the invitation to convene the general meeting in any of the above
ways.
The convening of the general meeting shall include at least the exact address, date and time
of the meeting, clear agenda items, eligible shareholders, and precise instructions on how
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shareholders will be able to attend. to attend the meeting and to exercise their rights in person
or by proxy or, where appropriate, remotely, as well as information on at least:
a) the rights of the shareholders of paragraphs 2, 3, 6 and 7 of article 141 of law 4548/2018, with
reference to the deadline within which any right can be exercised, or alternatively, the deadline
by which the rights can be these to be exercised. Detailed information about these rights and
the conditions for exercising them should be available by explicitly referring to the invitation on
the Company's website, b) the procedure for exercising the voting right through a
representative and in particular the forms he uses for this purpose, the Company, as well as the
means and methods provided in the articles of association, according to paragraph 5 of article
128 of law 4548/2018, for the Company to receive electronic notifications of appointment and
withdrawal of representatives, and c) the procedures for the exercise of the right to vote by
correspondence or by electronic means, if there is a case according to the provisions of articles
125 and 126 of law 4548/2018,
Also, the invitation determines the date of registration, as provided in paragraph 6 of article 124
of law 4548/2018, noting that only persons who are shareholders on that date have the right to
participate and vote in the general meeting, notifies the place to which is available the full text
of the documents and draft decisions, provided in paragraph 4 of article 123 of law 4548/2018,
as well as the way in which they can be obtained, and indicates the address of the Company's
website, where the information of paragraphs 3 and 4 of article 123 of law 4548/2018 is
available.
If the above data can not be accessed via the Internet for technical reasons, the Company
points out on its website how to supply the relevant forms in paper form and sends them by post
free of charge to any shareholder who requests it.
In order to enhance the transparency in the information of the shareholders, a summary of the
challenge of the general meeting is published in the Communication System "HERMES" because
it is reasonably reliable and has a pan-European scope.
Particular attention is paid to issues of conflict of interest of shareholders' representatives wishing
to participate in the general meeting.
The shareholder representative is obliged to notify the Company, before the beginning of the
general meeting, of any specific event that may be useful to the shareholders in assessing the
risk that the agent will serve interests other than the shareholder.
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Within the meaning of the above paragraph, a conflict of interest may arise, in particular when
the agent:
a) Is a shareholder who exercises control of the Company or is another legal entity or entity
controlled by that shareholder,
b) Is a member of the board of directors or the general management of the Company or a
shareholder who exercises control of the Company or another legal entity or entity controlled
by a shareholder who exercises control of the Company,
c) Is an employee or auditor of the Company or shareholder who exercises control of the
Company or another legal entity or entity controlled by a shareholder, who exercises control of
the Company;
d) He is a spouse or first-degree relative with one of the natural persons mentioned in cases a
to c.
The appointment and revocation or replacement of the shareholder's representative or
representative is made in writing or by electronic means and is submitted to the Company at
least forty eight (48) hours before the scheduled meeting date of the meeting. For the
notification to the Company by electronic means, within the above deadline, the sending by
e-mail (email) or fax is required. The general meeting is attended by the chairman of the board
of directors, the managing director, the financial director, executives of the corporate structure
of the Company or the legal advisors, as the case may be, the internal auditor, the chairman
and / or the members of the Audit Committee and the regular or Deputy Certified Auditor of
the Company's financial statements and, if required, provide information and briefing on
matters of their competence that are discussed and answer shareholders' questions on those
matters.
The chairman of the general meeting has the necessary time for the shareholders to ask
questions if they wish.
The discussions and decisions taken during the general assembly are recorded in a summary in
a special minutes book and are signed by the chairman of the general assembly and the
secretary.
At the request of a shareholder, the chairman of the meeting is obliged to record in the minutes
a summary of his opinion. The minutes also include a list of shareholders who were present or
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represented at the general meeting, which is prepared in accordance with the provisions of
Law 4548/2018.
Each share provides voting rights. All the rights of the shareholders deriving from the share,
without prejudice to the provisions of article 38 of law 4548/2018, are mandatory depending on
the percentage of the capital represented by the share.
The Company ensures equal treatment of all shareholders in the same position. During the
meeting of the general meeting, all the shareholders who ask for the floor are heard, the
opinions that may be expressed by the shareholders or the questions that may be submitted
and the answers that are given are recorded.
The Company publishes on its website under the responsibility of the Board of Directors the
results of the voting within five (5) days no later than the date of the general meeting, specifying
for each decision at least the number of shares for which valid votes were cast, its proportion
of these votes, the total number of valid votes, as well as the number of votes in favor and
against each decision and the number of abstentions.
Minority rights are mentioned in law 4548/2018.
E. Internal control system – External audit and risk management procedures.
The Company adopts and implements a corporate governance system in accordance with
articles 1 to 24 of Law 4706/2020, which is proportionate to the size, nature, scope and
complexity of its activities and which includes an adequate and effective internal system and
external control, including risk management and regulatory compliance systems, adequate
and effective procedures for the prevention, detection and suppression of conflict of interest
situations, adequate and effective mechanisms for communicating with shareholders to
facilitate the exercise of their rights and the active dialogue with them, as well as a
remuneration policy, which contributes to the business strategy, long-term interests and
sustainability of the Company. The main purpose of the corporate governance system is the
establishment and implementation of appropriate and up-to-date policies and procedures in
order to achieve timely, full and continuous compliance of the Company with the current
regulatory framework and to have at all times a complete picture of the degree of
achievement of this purpose. In establishing the relevant policies and procedures, the
complexity and nature of the Company's activities, including the development and promotion
of new products and business practices, are assessed.
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The Company's internal control system (hereinafter "ICS") aims mainly at the consistent
implementation of the Company's business strategy with the effective use of available
resources, at the identification, evaluation, management of the essential risks associated with
the Company's business activity and operation, as well as monitoring the development of these
risks, the effective operation of the internal control unit, ensuring the completeness and
reliability of the data and information required for the accurate and timely determination of the
Company's financial situation and the preparation of reliable financial statements, as well as
and of its non-financial status (s. 151 of Law 4548/2018) and compliance with the legislative and
regulatory framework, as well as the internal regulations governing the operation of the
Company (regulatory compliance).
The main components of the internal control system (CS) are the following:
• Control Environment
• Risk Assessment
• Control Activities & Safety Valves (Control Activities)
• Information and Communication System (Information and Technology)
• Monitoring Activities
Control Environment
The control environment includes all the structures, policies and procedures that provide the
basis for the development of an effective ICS, as well as the framework and structure for
achieving the fundamental objectives of the ICS.
The control environment is essentially the sum of many individual elements that determine the
overall organization and management and operation of the Company.
The review of the control environment includes in particular, the following:
- integrity, ethical values & management behavior: examines whether a clear framework of
integrity & ethical values governs board decision-making has been developed, and whether
follow-up procedures are in place to ensure that any discrepancies are identified in a timely
manner and corrected accordingly.
- organizational structure: examines whether the organizational structure of the Company
provides the framework for the planning, execution, control and supervision of corporate
operations through an organization chart for all its business units and operating activities
according to which the main areas of responsibility are delimited within the Company and the
appropriate reference lines are established, depending on the size of the Company and the
nature of its operations.
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- Board of Directors: examines the structure, organization and mode of operation of the Board
of Directors and its committees, in particular with regard to matters a) the relationship with the
executive, b) the responsibilities for overseeing the operation and effectiveness of the ICS and
c) of the composition of the board of directors (e.g. size, suitability and diversity of the members
of the board of directors, etc.) according to applicable law.
-Corporate responsibility examines the operation of top executive management and the way
in which it establishes, under the supervision of the board of directors, the appropriate structures,
reference lines, areas of responsibility, and competence to achieve the company's goals
according to applicable law.
- Human resources: the practices of recruitment, remuneration, training and evaluation of staff
performance are examined as an example in order to demonstrate the commitment of
management to the principles of integrity, ethical values and cognitive competence of staff
according to applicable law.
Risk management
Risk management is the component that identifies and analyzes the potential risks that threaten
the achievement of the Company's objectives and determines their management. Risk
assessment presupposes the setting of objective objectives. Based on these, the significant
events that may affect them are identified and the relevant risks are assessed, in order to
decide the Company's response to them.
The company's management is responsible for achieving its objective goals and objectives,
and for this purpose, it plans, organizes, and directs sufficient actions to provide sufficient
assurance that they will be achieved.
These actions include:
1. Risk identification procedures.
2. Risk assessment procedures.
3. (Internal) control systems.
4. Operating procedures.
5. Corporate governance procedures.
In particular, during the assessment, identification and risk management, the Company:
1. Recognize the risks arising from operational and strategic activities.
2. evaluates and prioritizes according to their seriousness and impact, in terms of achieving the
objective goals and objectives.
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3. The management and the board of directors determine the level of risks that are acceptable
to the Company, including the acceptance of risks, which are designed for the realization of
the strategic plans of the Company.
4. plans and implements risk mitigation activities to achieve risk reduction or management in
other ways at levels determined to be acceptable to management and the board of directors.
5. performs consistent monitoring functions to periodically reassess the risks and effectiveness of
internal control systems in managing the risks.
6. The board of directors and management receive periodic reports on the results of the risk
management procedures. The Company's corporate governance procedures provide
periodic notification to those with a legitimate interest in risks, risk management strategies, and
internal control systems.
In particular, the Company's supervisory bodies have the collective duty towards the Company
to ensure that: a) the annual financial statements, the management report and the corporate
governance statement and b) the consolidated financial statements, the consolidated
management reports and, when provided separately, the consolidated statement of
corporate governance have been drawn up and made public, in accordance with the
provisions in force and, where applicable, with the international accounting standards
established, in accordance with Regulation (EC) No. 1606/2002.
In the light of risk management, the Company's internal control system has as main
characteristics, for all companies included in the consolidation: a) the recognition and
assessment of risks related to the reliability of financial statements, b) the administrative planning
and monitoring of financial figures, c) fraud prevention and detection, d) executive roles and
responsibilities, e) closure procedures, including consolidation, and f) securing information
provided by information systems.
The Company has an established procedure for the recognition and evaluation of risks in terms
of the reliability of financial statements, which is applied. Its completeness and adequacy are
constantly evaluated.
There are also established and applicable procedures performed by the accounting and
financial management, which concern the collection, agreement and monitoring of financial
figures for the preparation of financial statements. The Company's accounting system ensures
the timely and accurate registration of each transaction. The processing and keeping of the
accounting data is done in a way that ensures the production and publication of reliable
accounting statements in accordance with the provisions of the current legislation. It also
ensures the safe keeping of records that allows effective checks to be carried out at a later
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time. Finally, the Board of Directors, the management, the competent bodies and the
executives of the Company have in time all the information required to carry out their duties
effectively.
When establishing its procedures, the Company seriously takes into account the possibility of
fraudulent acts, and for this reason, the safety valves operate throughout the range of
procedures.
The Company has adopted procedures, operational, computerized and not, but also internal
control which relate to the preparation of financial statements (semi-annual and annual
financial statements). Also, in these procedures are defined the safety valves, which have been
formed with a basic criterion of risk assessment.
The responsibilities and roles of the executives are clearly delimited by the administration. Their
image is given in the organization chart of the Company, from which the clear responsibilities,
rights and responsibilities arise. The Company's year-end procedures and consolidation
procedures are recorded and are in full compliance with the applicable legal framework.
The Company uses information systems that respond to its work environment, are updated
according to information and legislative amendments and ensure the security of information
from external access. There is a specialized IT service, the IT department, functionally and
administratively independent of the end users, within which there is a clear separation of tasks.
The quantitative and qualitative adequacy of IT services is ensured by specific procedures and
by the access of only authorized persons. The physical security of IT installations is also ensured
through corresponding procedures.
Control Activities & Safety Valves (Control Activities)
Controls are the policies, procedures, techniques and mechanisms that are put in place to
ensure that the decisions of the board of directors regarding the management of risks that
threaten the achievement of the Company's objectives are implemented. They concern the
whole Company and are executed by the executives of all levels (board of directors, senior
executives, other employees) and in all the corporate tasks.
Control mechanisms are the component which is part of risk management and aims to ensure
that the collection and development of those activities, which will address the potential risks
which are related to the achievement of the company's goals. It includes an overview of critical
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security control mechanisms, with an emphasis on safeguards related to conflict of interest,
segregation of duties and information systems governance and security.
Information and Communication System (Information and Technology)
An element of the Information and Communication System (ITCS) is the way in which the
Company ensures the recognition, collection and communication of information (internal and
external) at such a time and in such a way as to allow its various executives to perform their
responsibilities.
It concerns the overview of the development process of financial, including reports of control
mechanisms (e.g. supervisory, regulatory and regulatory authorities, statutory auditors, etc.) and
non-financial information (e.g. sustainable development policy, environmental, social and
labor issues, the respect of human rights, the fight against corruption, the issues related to
bribery, as provided by article 151 of Law 4548/2018) as well as the overview of the Company's
critical internal and external communication procedures.
According to applicable law, the company has appropriate internal and external
communication channels, such as communication with the members of the board of directors,
shareholders, and investors, communication with the existing committees of the Company, and
communication with the supervisory authorities.
Monitoring Activities
The monitoring of the company's ICS lies in the continuous evaluation of the existence and
operation of the components of the internal control framework. This is achieved through a
combination of ongoing monitoring activities as well as individual evaluations. The identified
deficiencies of the TEU are reported to the top management and the board of directors.
The periodic evaluation of the TEU shall be carried out in particular on the adequacy and
effectiveness of the financial information, on an individual and consolidated basis, in terms of
risk management and regulatory compliance, in accordance with recognized evaluation and
internal control standards, as well as implementation of the provisions on corporate
governance of the current legal framework.
The evaluation of the ICS is carried out by an independent person with proven relevant
professional experience, in accordance with international best practices (eg International
Standards on Auditing, the International Professional Standards Framework for Internal Audit
and the Internal Audit System framework of the COSO).
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Regulatory compliance- Regulatory Compliance Unit (RCU)
In accordance with article 13 of law 4706/2020 and in the context of the implementation of an
effective corporate governance system, the regulatory compliance of the Company is
performed by RCU.
The Regulatory Compliance Unit (RCU) is an independent organizational unit within the
Company, part of the Legal Services and Regulatory Compliance Department, but operating
as an independent activity with administrative reporting to the Chairman of the Company's
board of directors and operational reporting to the Company's board of directors.
The Regulatory Compliance Unit does not have other executive powers beyond those provided
for in the Company's operating regulations, in the Regulatory Compliance Unit's operating
regulations or derived from the legislative or regulatory framework. The Company's
management ensures the independence of the MCC and the independence of its head (if
any), including by approving and implementing the Regulation and by providing for its
reporting directly to the Company's board of directors.
The responsibilities of the Regulatory Compliance Unit are described in detail in its operating
regulations and are briefly summarized as follows:
- Monitoring of the institutional, regulatory & supervisory framework and the decisions of the
supervisory authorities,
- Submit proposals to the board of directors for new policies, procedures and measures to
prevent and address compliance risks,
- Communication with external bodies, supervisory European and national authorities on
matters of regulatory compliance,
- Providing advice and assistance to the other organizational units of the Company regarding
the prevention and treatment of compliance risks and the management of non-compliance
incidents,
- Developing an annual action plan for regulatory compliance and communicating it to the
audit committee/board for approval, as well as revising the plan whenever necessary,
- Analysis of deviations and development of a plan of required actions to comply with
institutional and supervisory requirements,
- Information & training of the Company's staff in matters of regulatory compliance,
- Management of questions/requests for regulatory compliance issues
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- Carrying out compliance assessments,
- Cooperation with the organization and planning department in the management of reports
and complaints,
- Ensuring the implementation of the Company's Code of Ethics,
- Management of compliance issues within the AML/CFT framework,
- Preparation and submission of accounting reports, regular and extraordinary,
- Informing the management and the Board of Directors of the Company for any identified
violation of the regulatory framework or any significant deficiencies, as well as for the results of
the operations of RCU with an annual report.
During the financial year 2023, the Regulatory Compliance Unit operated in accordance with
the applicable provisions and in accordance with its annual action plan and regulation. Taking
into account that 2023 was also the first year of its operation, the Regulatory Compliance Unit
carried out actions to train the Company in relation to regulatory compliance and its
presentation, to finalize a fully updated file of legislation and to review the procedures,
regulations and of the corporate governance rules with the aim of drawing up policies in
accordance with the law, updating policies/procedures, where required and integrating it into
the Company's corporate operating environment
Regulatory Compliance Officer
The Regulatory Compliance Officer is also the head of the Regulatory Compliance Unit (when
it is multi-person) and is appointed by the Company's board of directors. He cannot be a
member of the board of directors or a member with the right to vote in committees of a
permanent nature of the Company and have close ties with anyone who holds one of the
above qualities in the Company or in a company of the group.
The duties of the Regulatory Compliance Officer are identical to those of the Head of the
Regulatory Compliance Unit (when present) and include the following indicatively:
- Supervision, supervision and management of the Company's regulatory compliance,
- Communication with the top managers, if they exist and on a case-by-case basis, and with
the board of directors for the adequacy and effectiveness of the Company's policies and
procedures, their understanding and implementation by all staff and, in general, the
Company's compliance with regulatory requirements,
- Taking care of informing the members of the board of directors and the heads of the
organizational units of the Company about any changes, modifications and developments in
the current regulatory and legislative framework that governs the operation of the Company,
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- Taking care of the orderly and efficient operation of the RCU and ensuring the smooth
execution of the staff's tasks,
- Care for the continuous education and development of the knowledge and skills, both of the
same and of the staff of RCU,
- Participation with an advisory role in matters of regulatory compliance, in the procedures for
the development of new services or activities of the Company,
- Submission of regular reports on the carried out RCU work to the board of directors and
annually of the accounting report.
With the 20.05.2023 decision of the Company's board of directors, Mr. Konstantinos
Argyropoulos, director of the Company's legal services and regulatory compliance
department, was appointed regulatory compliance officer.
During 2023, the compliance officer participated in presentations at scientific conferences on
corporate governance and regulatory compliance with topical speeches on special topics
such as the impact of artificial intelligence and the development of new corporate
governance and regulatory compliance policies in the new corporate environment of artificial
intelligence. He also attended training seminars in Greece and abroad and received the
relevant certifications.
Internal Audit Unit.
The Company has an internal control unit, which is an independent organizational unit within
the company, in order to monitor and improve the operations and policies of the Company
regarding its internal control system. The operation, organization and responsibilities of the
internal control unit are described in detail in its operating regulations, which are approved by
the board of directors of the company following a proposal of the audit committee and are
posted on the Company's website: https://www.space.gr/el/corporate-governance-code.
The internal control unit is staffed by the internal auditor - head of the internal control unit, a full-
time and exclusive person who is independent, does not belong to any other service unit of the
Company and cooperates with the board of directors of the company, assisting him in
performing his duties in order to safeguard the interests of the Company and the shareholders.
The head of the internal control unit is appointed by the Board of Directors of the Company,
following a proposal of the audit committee, is a full-time and exclusive employee, personally
and functionally independent and objective in the performance of his duties and has the
appropriate knowledge and relevant professional experience. It reports administratively to the
CEO and operationally to the audit committee. As head of the internal control unit, he can not
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be a member of the board of directors or a member with the right to vote in standing
committees of the company and to have close ties with anyone who holds one of the above
qualities in the Company or in a Group company. The head of the internal control unit attends
the general meetings of the Company.
The audit committee, in the context of the supervision of the internal audit unit, exercises the
responsibilities provided in the current legislation and its operating regulations.
Head of the Internal Audit Unit
With the 29.04.2022 decision of the Company's board of directors, after a relevant
recommendation of the audit committee, in accordance with the provisions of article 15 par.
2 of Law 4706/2020, as the head of the Company's internal control unit, Ms. Konstantina Zervou,
a full-time and exclusive employee of the Company, personally independent and objective,
who is not a member of the Company's board of directors, nor a member with the right to vote
in permanent committees of the Company and has no ties to anyone who owns one of the
above properties in the Company or in a group company.
Following is the short CV of the head of the Company's internal control unit, Ms. Konstantina
Zervou is presented:
Ms. Konstantina Zervou holds a PhD from the Athens University of Economics and a Master of
Business Administration (MBA) from Hult International Business School – Boston, MA. She holds
the professional certifications CICA, COSO Framework, Financial Accounting Certificate and IT
General Controls Certifications, while she has attended multiple seminars on internal control
and at the same time she has received specialized training in auditing and fraud investigation.
Ms. Zervou has many years of experience in internal audit as an internal auditor of Otropay
Payment Foundation Single Member S.A. and of Samaras & Associates S.A., as well as an
independent internal audit consultant responsible for the organization of internal audits in
Municipal entities and businesses (registered or non). In the context of her above professional
activity, Ms. Zervou has dealt with the organization of the internal audit of companies and
Municipal entities, the preparation of risk management reports, the preparation of internal audit
manuals, annual internal audit plan and audit reports, as well as risk assessment and
prioritization activities, the analysis and evaluation of the adequacy and effectiveness of the
internal control system and the investigation and prevention of fraud. Ms. Zervou is registered in
the Register of Internal Auditors as an Internal Auditor of the Economic Chamber of Greece.
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Responsibilities
In particular, the head of the Company's internal control unit has the following responsibilities:
• submission to the audit committee of an annual audit program and the requirements of the
necessary resources, as well as the consequences of limiting the resources or the audit work of
the unit in general. The annual audit program is prepared based on the assessment of the
Company's risks after taking into account the opinion of the audit committee.
• monitoring the implementation and continuous observance of the internal operating
regulations, the articles of association and the general legislation concerning the Company
and, in particular, the stock market legislation and company law.
• Reporting to the Board of Directors of the Company cases of conflict of private interests of
the members of the Board of Directors or the Company's executives with the interests of the
Company, which it identifies during the exercise of its duties.
• submit every three (3) months at least a report to the audit committee which includes the
most important issues and proposals related to the above, which the audit committee presents
and submits along with its comments to the board.
• presence of general meetings of shareholders.
• provision, after approval of the Board of Directors of the Company, of any information
requested in writing by the competent supervisory authorities, cooperation with them and
facilitation in every possible way of the monitoring, control and supervision project that they
exercise.
Object of the Internal Audit Unit
The head of the internal control unit reports to the audit committee of the Company and informs
it in writing regularly and not less than once every quarter for the results of his work. The head of
the internal control unit is responsible for the development of the work program and activities
of his service and supports its implementation. Ensures the continuous training of the members
of the internal control unit in order to maintain the necessary level of knowledge and training
and maintains the confidentiality of the information that enters its perception.
The internal control unit examines and evaluates the adequacy and efficiency of the structure
of the internal control systems, as well as the quality of the performance of the other
mechanisms and systems regarding the achievement of the defined objectives of the
Company.
The head of the internal control unit performs his duties in accordance with the Code of Ethics,
which means that he applies and upholds the principles of integrity, objectivity, confidentiality
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and competency. In addition, it complies with the current legislation and the policies and
procedures of the Company.
The main objective of the internal control unit is to provide confirmation regarding the
achievement of the Company 's business objectives and to insure against the risks arising from
the Company' s activities.
The internal control unit has access, to all the books and data, employees, premises and
activities of the Company, which are necessary for the implementation of its audit work. It is
responsible for the absolute protection of the confidentiality of the data and the general
confidentiality. Every item or document requested by the internal control unit must be made
available immediately.
The Internal Audit Unit does not carry out routine work on behalf of other addresses, as this would
jeopardize its objectivity, nor does it have any direct authority or authority over the procedures
it controls.
In particular, the Chief Internal Auditor is responsible for:
• the assessment of the audit needs and confirmation of the implementation of the Policies and
Procedures (Standards IIA 2040, 2340), which have been set in order to achieve the operational
objectives of the Company.
• the recording, review, control and evaluation of the internal control system, its adequacy and
efficiency, as well as the quality of the performance of the other mechanisms and systems,
regarding the achievement of the Company's objectives.
• the monitoring, control and evaluation of the operating regulations, and in general, the
operating regulations governing the Company's committees, in particular as their observance,
the adequacy and correctness of the provided financial and administrative information, risk
management, regulatory compliance and the corporate governance code adopted by the
Company, according to the law.
• monitoring, controlling and evaluating quality assurance mechanisms.
• monitoring, controlling and evaluating corporate governance mechanisms.
• monitoring the implementation and continuous observance of the Company's Articles of
Association, as well as the general legislation concerning the Company and, in particular, the
stock exchange legislation and the legislation on public limited companies.
• monitoring, controlling and evaluating the observance of the commitments contained in the
prospectuses and the business plans of the Company, regarding the use of the funds raised
from the regulated market, if any.
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• the preparation of the annual audit program, its respective budget, as well as its submission
to the audit committee for approval while ensuring the smooth execution of its tasks.
• preparation of quarterly audit reports on the control and evaluation of the internal control
system, operating regulations, risk management, regulatory compliance, corporate
governance code, quality assurance mechanisms, corporate governance mechanisms,
compliance with any commitments in newsletters and the Company's business plans. The
quarterly reports detail the risks arising from the findings and suggestions for improvement, if any.
After the relevant views are incorporated in the audit reports, if they exist, with the agreed
actions or the acceptance of the risk and the non-action, the limitations in the scope of control,
if any, and the response results of the audited addresses of the Company, then they are
submitted to Control Committee.
• submitting reports every three (3) months at least, to the audit committee, which includes the
most important issues and suggestions regarding the audit reports. The audit committee
presents these reports and submits them to the board of directors, together with any comments.
• the submission of a proposal for the formulation and development of new procedures, where
appropriate, as well as proposals for the improvement of the existing procedures.
• the written provision of any information requested by the Hellenic Capital Market Commission,
with which it cooperates and facilitates in every possible way the task of monitoring, controlling
and supervising it.
• conducting regular and extraordinary inventory inspections.
• the timely identification of potential business risks and their assessment.
• keeping a file of files (electronic and physical) of all its audit projects.
• communication with external auditors.
• the inspection of the legality of the remuneration and of all kinds of benefits to the members
of the board of directors regarding the decisions of the competent bodies of the Company.
• the professional training and the suggestion of participation in seminars for the improvement
of the auditing qualifications and the updating of the developments of the audited
methodology in matters of administrative and financial audits both for him and for the members
of the internal audit unit.
• the information of the managing director of the Company in case any illegal behavior is found
by any person within the Company.
• the reporting of possible cases of conflict of private interests of the members of the board of
directors or of the executives of the Company to the audit committee.
The steps that are followed during the operation of the internal control are the following:
1. Preparation and approval of the annual audit program
2. Design and audit project.
3. Carrying out the audit.
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4. Communication of the results of the audit process
5. Monitoring the implementation of the recommendations.
The internal control unit is not relieved of its responsibilities in activities of the Company that are
subject to control by third parties but must weigh whether it can rely on the work of third parties
and adapt the planning of the audit to its work.
In case of ascertainment by the Company's bodies or by third parties (tax auditors, certified
auditors, etc.) of any administrative or operational irregularity, the competent employees of the
Company (by head of department or service and above) must immediately inform the internal
audit unit.
All managers of the Company's management have the ability to request through the internal
audit service, the conduct of any relevant audit, after it has been approved by the audit
committee.
The Company informs the Hellenic Capital Market Commission of any change of the head of
the internal control unit, submitting the relevant minutes of the board meeting within twenty
(20) days of this change.
Procedure for the evaluation of the Internal Audit System and the implementation of the
provisions on corporate governance of Law 4706/2020.
The Company has a specific process of periodic evaluation of the Internal Control System (ICS),
in particular in terms of adequacy and effectiveness of financial information, on an individual
and consolidated basis, in terms of risk management and regulatory compliance, in
accordance with recognized standards of evaluation and internal control. as well as regarding
the implementation of the provisions on corporate governance of law 4706/2020. This
evaluation is performed by an objective, independent, proven, certified and sufficiently
experienced evaluator in accordance with international best practices (e.g. International
Standards on Auditing, International Professional Standards for Internal Audit) and the Internal
Audit Framework. , is defined in article 14 of law 4706/2020 and is specified by the decision 1/891
/ 30.9.2020 of the board of directors of the Hellenic Capital Market Commission.
The periodic evaluation process of the TEU includes the evaluation policy of the IAS, which
defines the evaluation objects, the periodicity of the audit, the scope of the evaluation, the
important subsidiaries included in the evaluation, as well as the assignment and monitoring of
the evaluation results. It includes the evaluation process of the TEU, which includes the individual
stages of selection of the candidates who will carry out the evaluation by the competent body,
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the process of proposing, selecting and approving the evaluation assignment by the
competent body, as well as the competent body monitoring and observing the agreed project.
The Board of Directors of the Company is responsible for the adequate and efficient operation
of the corporate governance system and the internal control system of the Company in
accordance with articles 1 to 24 of L.4706 / 2020, and determines the periodic evaluation of
the IAS every three (3) years starting from the reference date of the last evaluation.
In accordance with the provisions of para. j) of par. 3 and par. 4 of article 14 of Law 4706/2020,
decision 1/891/30.09.2020 (as amended by decree no. 2/ 917/17.06.2021 decision) of the Board
of Directors of the Capital Market Commission and letters No. 425/21.02.2022 and
784/20.03.2023 of the Capital Market Commission, the first evaluation of the Internal Control
System, is completed by 31.03. 2023 with reference date 31.12.2022 and reference period
17.07.2021-31.12.2022 and the first reference in the report is included in the Corporate
Governance Statement, which is included in the Annual Financial Report of 31.12.2022.
According to the above, the first evaluation of the Company's Internal Control System, with a
reference date of 31.12.2022 and a reference period of 17.07.2021-31.12.2022, was completed
on 24.03.2023 and a relevant report was included in the Corporate Governance Statement,
which was included in the Annual Financial Report of the Company of 31.12.2022 (regarding:
submission of a summary evaluation report to the Capital Market Commission with the
Company's document of 31-3-2023 with prot. no. 3884).
In any case, the evaluation of the ICS is part of the overall evaluation of the corporate
governance system of the company, according to article 4 par. 1 of law 4706/2020.
The objects of evaluation of the IAS are the following:
• Control Environment.
• Risk management.
• Control Activities
• Information and Communication System (Information and Technology).
• Monitoring of the ICS (Monitoring).
Significant subsidiaries of the Company included in the evaluation of the ICS
According to article 2 para. 16 of Law 4706/2020, a significant subsidiary of the Company is
defined as one which affects or can significantly affect the financial position or the
performances or the business activity or the general financial interests of the Company. Also, in
accordance with decision 1/891/30.9.2020 of the board of directors of the Capital Market
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Commission, the evaluation of the ICS includes in terms of subject matter and periodicity the
important subsidiaries of the Company.
For the definition of a significant subsidiary, the Company takes into account the criteria of the
Guidelines of the European Securities and Markets Authority (ESMA) (ESMA Guidelines on
disclosure requirements under the Prospectus Regulation: https://www.esma.europa.eu/sites/
default/files/library/esma31-62-1462 final report on guidelines on prospectus disclosure
requirements.pdf). According to paragraph 221 (ii) thereof, a significant subsidiary is considered
a subsidiary that represents at least 10% of either the consolidated net assets of the group or
the consolidated net profits / losses of the group.
According to the above criteria, the important subsidiaries of the Company are: a) the
company with the name "SPACE HELLAS (CYPRUS) LIMITED" which is based in Cyprus,
Chryssorroyatissis & Kolokotroni T.K. 3340, Limassol, with company registration number HE 165191
and VAT number CY 10165191Q, and b) the joint-stock company with the name "SINGULAR
LOGIC S.A. ANONIME IT SYSTEMS AND APPLICATIONS" and the distinctive title "SINGULARLOGIC
S.A.", based at Municipality of Kifissia, Province of Attica, on Achaias No. 3 and Troizinia Streets,
with GEMI number 8916201000 and with VAT number 997985169/ DOU FAE ATHENS (minutes of
the board of directors dated 09/11/2022).
The ICS evaluation process is described in detail in the company's internal operating regulations.
ICS Evaluation Report
According to the above reference, the Company's board of directors is responsible for the
adequate and efficient operation of the Company's corporate governance system and
internal control system in accordance with articles 1 to 24 of Law 4706/2020, and defines the
periodic evaluation of ICS every three (3) years starting from the reference date of the last
assessment, in accordance with the applicable legislation.
In accordance with the provisions of para. j) of par. 3 and par. 4 of article 14 of Law 4706/2020,
decision 1/891/30.09.2020 (as amended by decree no. 2/ 917/17.06.2021 decision) of the Board
of Directors of the Capital Market Commission and letters No. 425/21.02.2022 and
784/20.03.2023 of the Capital Market Commission, the first evaluation of the Internal Control
System, is completed by 31.03. 2023 with reference date 31.12.2022 and reference period
17.07.2021-31.12.2022 and the first reference in the report is included in the Corporate
Governance Statement, which is included in the Annual Financial Report of 31.12.2022.
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196
According to the above, the first evaluation of the Company's Internal Control System, with a
reference date of 31.12.2022 and a reference period of 17.07.2021-31.12.2022, was completed
on 24.03.2023 and a relevant report was included in the Corporate Governance Statement,
which was included in the Annual Financial Report of the Company of 31.12.2022 (regarding:
submission of a summary evaluation report to the Capital Market Commission with the
Company's document of 31-3-2023 with prot. no. 3884).
More specifically, the Company, by decision of its Board of Directors, assigned to the company
AMiD - Governance, Internal Controls and Internal Audit Services, the project "Provision of
Internal Control System evaluation services", in order to evaluate the adequacy and
effectiveness of the Internal Control System of the Company, with a reference date of
12/31/2022, in accordance with the provisions of paragraph i of paragraph 3 and paragraph 4
of article 14 of Law 4706/2020 and Decision 1/891 /30.09.2020 of the Board of Directors of the
Capital Market Commission, as applicable (the "Regulatory Framework"). The Conclusion of the
Independent Assessors and partners of AMiD, namely Messrs. Vassilis Monoyiou, (CIA, CRMA,
CPA, COSO ICIF) and Giorgos Pelekanakis (CIA, CISA, CFE, CCSA, CRP, COSO ICIF, COBIT 5.0)
which is included in the final evaluation report of the adequacy and effectiveness of the SEE
dated 24.3. 2023, states the following: "Based on our work carried out, as described above in
the paragraph "Scope of Work Carried Out", as well as the evidence obtained, regarding the
assessment of the adequacy and effectiveness of the Company's ICS, with a reference date of
December 31, 2022, nothing has come to our attention that could be considered a material
weakness of the Company's ICS, in accordance with the Regulatory Framework."
Evaluation of the Corporate Governance System:
According to the Capital Market Commission circular No. Prot.: 604 / 05/03/2024, given that the
evaluation of the Corporate Governance System is carried out periodically at least every three
financial years, its first evaluation is expected to be completed no later than beginning of 2025,
with a maximum reference period of 17.07.2021 – 31.12.2024. A related report is expected to be
included in the Annual Financial Report of 31.12.2024.
Risk Management Unit
Risk Management is the set of actions, with which the Company methodically approaches the
existing and potential risks related to its activities. It is one of the basic elements of the
Company's internal control system and, in combination with the other elements that make up
an effective internal control system, such as the regulatory compliance and internal control
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units, form a framework aimed at the effective management of the company's risks Company,
in order to achieve its business objectives.
The Company has adopted an "Enterprise Risk Management" (ERM) methodology which allows
for the systematic identification, evaluation and management of risks through a structured
approach. The methodology takes into account the COSO (Committee of Sponsoring
Organizations of the Treadway Commission) ERM framework, which provides guidance on how
to incorporate ERM practices and outlines their implementation principles.
The integration of ERM principles into business practices leads to better and timely information,
supports optimal decision-making and facilitates the Company to:
• predicts upcoming risks more promptly, giving response time and more options for their
management,
• identify and pursue existing and new business opportunities,
• addresses any performance deviations promptly and consistently;
• develops a more complete and consistent picture of each risk as well as of the overall risk
footprint.
Organizational structure - Responsibilities of MDC and its Head
The RMC supports the audit committee and the board of directors in their responsibilities
regarding risk management.
The responsibilities of the RMU and its head (Head of the Risk Management Unit) are indicatively
as follows:
• to coordinate Risk Management activities within the Company.
• recommend changes to established policies in relation to risk management.
• to ensure the existence and implementation of appropriate risk management policies as well
as compliance with the Company's strategies and Management's decisions.
• to consultatively participate in the decision-making process for defining the terms of important
contracts with third-party external providers or important investment projects.
• to ensure proper compliance and reporting on the limits and restrictions set by the
Management for risk management, as well as related supervisory requirements.
• to consultatively participate in the decision-making process for defining the terms of important
contracts with third-party external providers or important investment projects.
• to ensure proper compliance and reporting on the limits and restrictions set by the
Management for risk management, as well as related supervisory requirements.
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In the context of an integrated risk management system, the reporting of risks and their
continuous monitoring is an integral part. The reports have internal and external recipients and
capture the Company's risk profile and possible management actions.
In addition, the MDC submits the following reports:
• reporting on a six-monthly basis to the audit committee and the Chairman of the board of
directors with information on the Company's overall exposure to risk in relation to the Company's
overall risk appetite and possible administrative actions.
• report on an annual basis to the board of directors, which includes annual data regarding
the Company's risk profile, and the actions of the MDC for the current year.
• ad hoc reports to the management and the audit committee regarding violations of the
Company's statutory risk appetite limits.
• reports to the supervisory authorities, whenever required by the supervisory authorities.
With the 20.05.2023 decision of the Company's board of directors, Mr. Panagiotis Doumanis,
director of the Company's financial management & purchasing department, was appointed
regulatory compliance officer
F. Diversity policy.
Space Hellas is an equal opportunities company and encourages a safe and healthy work
environment without discrimination. Diversity is based on a number of factors that include, but
are not limited to, cultural and educational background, work experience, skills, gender, age,
knowledge and length of service.
In this context, the Company complied with the provisions of article 3 of law 4706/2020 as its
adequate representation by gender in a percentage that is not less than 25% of all members
of the board of directors. The Company in compliance with the above provisions and no. 60 /
18-9-2020 circular of the Hellenic Capital Market Commission, adopted an adequacy policy in
accordance with its internal regulations and the Corporate Governance Code that it applies,
which provides, among other things, diversity criteria for the selection of the members of the
board of directors. Also, the Company has signed the Diversity Charter of Greece, which aims
to act as a means of commitment for the implementation of equal opportunities and diversity
in Greece, and has joined the Diversity Charter Greece (https://diversity-
charter.gr/signatories/).
The Company is managed by a board of directors whose members have experience, sufficient
education and know-how in the field of the Company's activity at a multifaceted level, i.e. in
technocratic, legal, commercial, financial and domestic and foreign markets. It is characteristic
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199
that the members of the board of directors have studies at a higher and highest level
(postgraduate studies up to a doctoral thesis) either in Greece or abroad and many years of
professional experience.
The managers and executives of the Company's corporate structure have been employed for
over fifteen and/or twenty consecutive years, and an important element in their selection is the
high knowledge and training in the Company's market sector, the ability to manage affairs and
administration, the fluent knowledge of foreign languages, the desire for a career, the ability to
adapt to the corporate environment, the willingness to offer and cooperate, the sensitivity of
social structures and the working environment, respect for the environment.
The Company's policy is that the selection of its employees is based on meritocracy and that
candidates are examined in relation to objective criteria, always taking into account the
benefits of diversity. In this context and depending on the circumstances, the process includes
structured interviews by the Company's human resources department in collaboration with
external consultants, if required. The nominations are evaluated at the first level and then there
is an evaluation at the second level with an additional interview of the final candidates. Finally,
depending on the position, an interview with a management representative follows at the final
level.
Especially in the cases of the selection of supervisory bodies, the conditions of the applicable
legislation are observed.
For the year 2023, the above principles of the Company's policy were applied to the recruitment
program followed by the Company for its staffing and meeting its needs.
The following table shows statistical data regarding the age and gender of the members of the
Company's board of directors and managers, for the year 2023, with the clarification that the
executive members of the board of directors and the majority of the Company's managers
(90%) are employed by the Company for a period over ten years.
Members of BoD
2023
Head of
Departments/Directors
2023
Men
78%
Men
83%
Women
22%
Women
17%
<30 years old
0%
<30 years old
0%
30-55 years old
67%
30-55 years old
65%
56-65 years old
22%
56-65 years old
35%
> 70 years old
11%
> 70 years old
0%
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G. Related party transactions.
The internal regulations of the Company provide for the procedure of the company's
transactions with related parties and are intended to describe the manner in which related
party transactions are approved in accordance with the applicable legal framework and the
assessment of whether or not specific transactions fall within the exceptions of par. 3 of a. 99 of
Law 4548/2018, while especially for para. (a) of par. 3 of a. 99 of Law 4548/2018, the internal
procedure for the periodic evaluation of current transactions is applied.
In addition to the internal procedure in application of paragraph (a) of paragraph 3 of a. 99 of
Law 4548/2018, in the event that the board of directors determines that a specific transaction
falls within the scope of the above other exceptions pursuant to Law 4548/2018, the relevant
person is informed each time in order to complete the transaction without the approval of the
board council.
In the event that the board of directors deems that a specific transaction does not fall within
the scope of the above exceptions provided in law 4548/2018, the report of the chartered
accountant or auditing company or another independent to the third party company is
requested, in order to assess whether the transaction is fair and reasonable on the part of the
Company and the non-affiliated shareholders, including the minority shareholders of the
company. The report should also explain the assumptions on which it is based and the methods
used in drawing it up.
The competent body for the issuance of a special license for transactions of related parties is
the board of directors, according to law 4548/2018 as in force. The approval must be granted
before the completion of the transaction and is valid for six (6) months, within which the
transaction must be completed. The approval of the board of directors is submitted to the
G.E.M.I. in accordance with applicable law.
Within ten (10) calendar days from the publication of the relevant announcement in G.E.M.I.,
the shareholders representing one twentieth (1/20) of the share capital may request the
convening of a general meeting in order to decide on the granting of the approval. .
The contract for which the approval was granted by the board of directors is considered final
only after the expiration of the period of ten (10) days without any action, or with the granting
of approval by the general meeting or with the written statement of all shareholders of the
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201
Company that they do not intend to convene a general meeting in accordance with the
current framework. After the expiration of the deadline of ten (10) days and subject to the
request of the shareholders representing one twentieth (1/20) of the share capital for convening
a general meeting, the company publishes in G.E.M.I. second announcement regarding the
expiration of the deadline of ten (10) days.
Finally, the competent person is adequately informed that he can proceed with the execution
of the relevant contract.
All related party transactions may be reviewed by the Audit Committee to monitor potential
conflicts of interest in related party transactions.
Information under Article 10 of Directive 2004/25 / EC of the European Parliament.
There are no significant direct or indirect contributions (including indirect contributions through
pyramid schemes or mutual participation) within the meaning of Article 85 of Directive 2001/34
/ EC.
There are no shareholders of the Company with special control rights.
The voting rights, the rules of appointment and replacement of the members of the board of
directors as well as regarding the amendment of the articles of association, and the powers of
the members of the board of directors are provided in accordance with the provisions of law
4548/2018, Law 4706/2020 and the articles of association.
2.11 SIGNIFICANT POST-BALANCE SHEET EVENTS
➢ On January 26, 2024 Spaces Hellas was very pleased to announce its scholarship
recipients based on the announced 5th "Dimitris Manolopoulos" honorary scholarship for
the academic year 2023-2024.
➢ On April 8, 2024, the General Assembly of the subsidiary company, SENSE ONE
TECHNOLOGY MONOPROSOPI SA, approved the increase of its share capital by the
amount of two hundred and fifty thousand and fifty euros (€250,050) with the payment
of cash and the issue of sixteen thousand six hundred and seventy (16,670) new shares.
Following this, the share capital of SENSE ONE TECHNOLOGY MONOPROSOPI SA was
established in the amount of eight hundred and fifty thousand and fifty euros
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202
(€850,050.00) divided into fifty six thousand six hundred and seventy (56,670) shares with
a nominal value of fifteen euros (€15.00) each, by the above mentioned
There are no other events subsequent to the financial statements which concern either the
Group or the company and which are required to be reported by the International Financial
Reporting Standards.
2.12 EXPLANATORY REPORT OF THE BOARD OF DIRECTORS TOWARDS THE SHAREHOLDERS’
ORDINARY GENERAL MEETING OF “SPACE HELLAS S.A.”, PURSUANT TO ARTICLE 4, PARAGRAPHS
7 AND 8, LAW 3556/2007
According to paragraph 8 of article 4 of Law 3556/2007, the board of directors of the
company submits the present explanatory report to the regular general meeting of
shareholders regarding the information of paragraph 7 of article 4 of law 3556/2007. The
explanatory memorandum is included in the report of the board of directors.
(a) Structure of the company's share capital, including shares not listed on the market in an
organized market in Greece or in another Member State, stating for each category of shares
the rights and obligations associated with that category and its percentage of the total share
capital represented by the shares of this category
The company's share capital amounts to six million nine hundred and seventy-three thousand
fifty-two Euros and forty cents (€ 6,973,052.40) and is divided into six million four hundred and
fifty-six thousand five hundred and thirty (6,456,530) common shares of 1.08 Euros each, listed
for trading in the General Category (Main Market), Sector/Sub-sector: Telecommunications /
Telecommunications Equipment of the Athens Stock Exchange.
(b) Restrictions on the transfer of shares of the company, such as indicative restrictions on the
possession of shares or the obligation to obtain prior approval from the issuer, by other
shareholders or by the Public or Administrative Authority, without prejudice to paragraph 2 of
Article 4 of Law 3371 / 2005 (Government Gazette 178 A’).
The Company shares may be transferred as provided by the law and the Articles of
Association provide no restrictions as regards the transfer of shares.
SPACE HELLAS S.A.
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(c) Significant direct or indirect participation within the meaning of the provisions of Articles 9
to 11 of Law 3556/2007.
The shareholders (physical or legal persons) who directly or indirectly own more than 5% of
the total number of shares of the company on 31.12.2023 are listed in the following table:
Name
Ownership
Manolopoulos Spyridon
17,231%
Manolopoulos Ioannis
16,153%
Mpellos Panagiotis
16,636%
ALPHA BANK S.A.
19,33%
No other entity possesses a percentage greater than 5% of the total company’s voting rights
(d) Holders of all types of shares that provide special control rights and a description of the
relevant rights.
None of the Company shares carry any special rights of control.
(e) Restrictions on the right to vote, such as restrictive voting rights for holders of a certain
percentage of the share capital or holders of a certain number of voting rights, and deadlines
for exercising voting rights.
The Articles of Association make no provision for any limitations on voting rights.
(f) Agreements between shareholders of the company which are known to the company and
imply restrictions on the transfer of shares or restrictions on the exercise of voting rights.
The Company is not aware of any agreements among shareholders entailing limitations on
the transfer of shares or limitations on voting rights, nor is there any provision in the Articles of
Association providing the possibility of such agreements
(g) Rules for the appointment and replacement of members of the Board of Directors, as well
as for the amendment of the Articles of Association, if they differ from those provided for in
Law 4548/2018.
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The rules provided by the company's articles of association, both for the appointment and
replacement of members of its board of directors and for its amendments, do not differ from
those provided for in Law 4548/2018.
(h) Responsibility of the Board of Directors or certain members of the Board of Directors for the
issuance of new shares or the purchase of own shares in accordance with Article 49 of Law
4548/2018.
1. According to Article 6 of the company's articles of association: 1. a) For a period not
exceeding five years from the establishment of the company, the board of directors has the
right by its decision, taken by a two-thirds majority (2 / 3) at least of all its members to increase
the capital by some or all with the issuance of new shares, for an amount that cannot exceed
three times the initial capital. b) The above power may be granted to the Board of Directors
by a decision of the General Meeting, for a period not exceeding five years. In this case, the
capital may be increased by an amount not exceeding three times the amount of capital
available to the Board of Directors on the date of the capital increase. (c) This power of the
Board of Directors may be renewed by a decision of the General Meeting for a period not
exceeding five years for each granted renewal. The validity of each renewal starts from the
expiration of the validity period of the previous one. Decisions of the General Assembly on the
granting or renewal of the power to increase capital by the Board of Directors shall be made
public. 2. For a period not exceeding five years from the establishment of the company, the
general meeting may, by its decision, taken by simple quorum and majority, increase the
capital, in part or in whole, by issuing new shares up to a total of eight times. of the initial
capital. 3. In any case of increase of the share capital, including the one made by
contribution in kind or issuance of bonds with the right to convert them into shares, the right
to preference in the whole new capital or bond loan shall be granted, in favor of the
shareholders at the time of issuance. with their participation in the existing share capital, as
defined in Article 26 of Law 4548/2018. 4. In any case of an increase of the share capital for
the certification of its payment or not, the provisions of article 20 of law 4548/2018 apply.
2. In accordance with the provisions of Article 49 of Law 4548/2018, without prejudice to the
principle of equal treatment of shareholders who are in the same position and the provisions
for the abuse of the market, the company may, itself or in person acting on its behalf, to
acquire shares that have already been issued, but only with the approval of the General
Assembly, which sets out the terms and conditions of the acquisitions provided and, in
particular, the maximum number of shares possible. to be acquired, the duration for which is
granted the approval, which may not exceed twenty-four (24) months and, in the case of
SPACE HELLAS S.A.
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205
acquisition for a compelling reason, the minimum and maximum limits of the acquisition value.
The decision of the general meeting is made public. The acquisitions of the previous
paragraph are made with the responsibility of the members of the board of directors, under
the following conditions: a) The nominal value of the shares acquired, including the shares
previously acquired and maintained by the company, and the shares acquired by a person,
which operated in his own name but on behalf of the company, it is not possible to exceed
one tenth (1/10) of the paid-up capital. b) The acquisition of shares, including the shares
previously acquired and maintained by the company, and the shares acquired by a person
acting on his own name but on behalf of the company, may not result in the reduction of
equity, in an amount less than that specified in paragraph 1 of Article 159. c) The transaction
may relate only to shares that have been fully repaid. The other provisions of article 49 of law
4548/2018 also apply
It is noted that the extraordinary general meeting of the company's shareholders on
December 20, 2022 (with the sole subject of granting approval for the company's acquisition
of own shares in accordance with article 49 of Law 4548/2018) has approved in its entirety the
relevant proposal of board of directors and the purchase of own shares, in accordance with
article 49 of Law 4548/2018 with the following general characteristics: acquisition of a
percentage of up to 5% of the total share capital, duration of approval: twenty-four (24)
months, method of acquisition: through stock market transactions and price limits: acquisition
€ 3.00 - € 13.00, so that the company, once it acquires these shares, can use them for future
strategic partnerships and/or for the establishment of an incentive program for the executives
and the its other staff and/or the reduction of its share capital and/or for other legal purposes,
in any case in accordance with the relevant decision of the board of directors by virtue of a
special authorization to it. Purchases of own shares will be carried out to the extent deemed
advantageous and the available liquidity of the company will allow it. Also, the above
general meeting of the company's shareholders decided to grant authorization to the
company's board of directors for the implementation of the decision of the general meeting
and the regulation of any other more specific issue, which is not defined in the said decision,
in compliance in any case with the provisions of the relevant legislation.
The company's board of directors has not implemented the said decision until 12-31-2023 and
the company has not acquired own shares until 12-31-2023.
(i) Any significant agreement entered into by the Company, which enters into force, shall be
amended or expired in the event of a change in the Company's control under a public
proposal and the results of that Agreement, unless, by its nature, the agreement is made
SPACE HELLAS S.A.
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206
public. would cause serious damage to the company. The exception to the publication of
the agreement does not apply when the obligation to publish arises from other provisions
There is no such an agreement.
(j) Any agreement that the Company has entered into with members of its Board of Directors
or its staff, which provides for compensation in the event of resignation or dismissal without
good reason or termination of their term or employment due to a public offer.
The Company has no significant agreements with members of the Board of Directors or its
employees providing for the payment of compensation, especially in the case of resignation
or dismissal without good reason or termination of their period of office or employment due
to a public offer
Agia Paraskevi, 23 April 2024
The Chairman of Board
S. MANOLOPOULOS The Board of Directors
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207
3 INDEPENDENT AUDITOR’S REPORT
To the Shareholders of SPACE HELLAS S.A
Report on the Audit of the Consolidated Financial Statements
Opinion
We have audited the accompanying separate and consolidated financial statements of
“SPACE HELLAS S.A." (Company), which comprise the separate and consolidated statement of
financial position as of 31 December 2023, the separate and consolidated income statements,
statements of comprehensive income, statements of changes in equity and statements of cash
flows for the year then ended, as well as the notes on the financial statements that include
material accounting policy information.
In our opinion, the consolidated financial statements fairly present, in all material respects, the
separate and consolidated financial position of the Company and of its subsidiaries (the Group)
as of 31 December 2023, their financial performance, and their cash flows for the year then
ended in accordance with International Financial Reporting Standards, as adopted by the
European Union.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (ISAs), as they
have been transposed into Greek Law. Our responsibilities under those standards are further
described in the Auditor’s responsibilities for the audit of the separate and consolidated
financial statements section of our report.
We remained independent of the Company and its consolidated subsidiaries throughout our
audit in accordance with the Code of Ethics for Professional Auditors of the International Ethics
Standards Board for Accountants, as incorporated in the Greek Legislation and the ethical
requirements related to the audit of corporate and consolidated financial statements in
Greece and we have fulfilled our ethical obligations in accordance with the requirements of
applicable law and abovementioned Code of Ethics.
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We believe that the audit evidence we have obtained is sufficient and appropriate to provide
a basis for our opinion.
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance
in our audit of the separate and consolidated financial statements of the current period. These
matters and related risks of material misstatement were addressed in the context of our audit
of the separate and consolidated financial statements as a whole, and in forming our opinion
thereon, and we do not provide a separate opinion on these matters.
1. Revenue recognition
According to the accounting policy described in note 4.5.2.16 "Recognition of income and
expenses" of the annual financial report, income is recognized when the relevant risks and
rewards related to the goods sold are transferred to the buyer. The group's revenues come from
sales of technological equipment and provision of services as well as execution of projects
based on segmental integration. The recognition of revenues includes the risk of incorrect
registration of revenues in the year they relate to. The group has active installation and
maintenance contracts for a large number of customers.
We have examined the wide internal controls of the company and the specific safeguards for
monitoring revenue generation, ordering, contract execution, pricing and subsequent
collection.
We have conducted revenue analytical procedures and substantive audit procedures on a
sample of transactions in order to obtain a reasonable basis for recognizing and accounting for
revenue.
SPACE HELLAS S.A.
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209
2 Impairment of non-current assets
Among the non-current assets of the Group is included recognized goodwill of € 2,621
thousand, value of investments in the share capital of relatives and other companies of € 3,623
thousand. According to the applicable accounting framework, it is required to be evaluated
at each financial statement date whether there are signs of impairment of these items and, if
the case arises, it is necessary to carry out a relevant impairment.
For these funds, we assessed management's estimates of whether there are indications of
impairment of the assets in question, examined the reasonableness of the assumptions used
and the methodologies applied to calculate the cash flows, discount rates and residual value.
Among the non-current assets of the Group is also included the value of intangible assets
amounting to € 16,722 thousand, the greater part of which comes from the application of IFRS
3, during the business combination.
For this fund, we evaluated the management's estimates and other estimates used as well as
the reasonableness of the assumptions and methodologies applied to identify these items.
Other information
Management is responsible for the other information. Other information, is included in the Board
of Directors Report, for which reference is made in section “Report on Other Legal and
Regulatory Requirements”, in the Statements of the Members of the Board of Directors, but does
not include the Consolidated financial statements and our auditor’s report thereon.
Our opinion on the consolidated financial statements does not cover the other information and
we do not express any form of assurance conclusion thereon.
In connection with our audit of the separate and consolidated financial statements, our
responsibility is to read the other information and, in doing so, consider whether the other
information is materially inconsistent with the separate and consolidated financial statements
or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If,
based on the work we have performed, we conclude that there is a material misstatement of
this other information, we are required to report that fact. We have nothing to report in this
regard.
SPACE HELLAS S.A.
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210
Responsibilities of management and those charged with governance for the separate and
consolidated financial statements
Management is responsible for the preparation and fair presentation of the separate and
Consolidated Financial Statements in accordance with International Financial Reporting
Standards, as adopted by the European Union, and for such internal control as management
determines is necessary to enable the preparation of separate and consolidated financial
statements that are free from material misstatement, whether due to fraud or error.
In preparing the separate and consolidated financial statements, Management is responsible
for assessing the Company’s and Group’s ability to continue as a going concern, disclosing, as
applicable, matters related to going concern and using the going concern basis of accounting
unless management either intends to liquidate the Company and Group or to cease
operations, or has no realistic alternative but to do so.
The Audit Committee (article 44 of Law 4449/2017) is responsible for overseeing the financial
reporting process of the Company and the Group.
Auditor’s responsibilities for the audit of the separate and consolidated financial statements
Our objectives are to obtain reasonable assurance about whether the separate and
consolidated financial statements as a whole are free from material misstatement, whether due
to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable
assurance is a high level of assurance, but is not a guarantee that an audit conducted in
accordance with ISAs, as embodied in the Greek Legislation, will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered
material if, individually or in the aggregate, they could reasonably be expected to influence
the economic decisions of users taken on the basis of these separate and consolidated
financial statements.
As part of an audit in accordance with ISAs, as embodied in the Greek Legislation, we exercise
professional judgment and maintain professional scepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the separate and consolidated
financial statements, whether due to fraud or error, design and perform audit procedures
responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide
SPACE HELLAS S.A.
Annual Report 2023
211
a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is
higher than for one resulting from error, as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Company’s and Group’s internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of
accounting estimates and related disclosures made by management.
• Conclude on the appropriateness of management’s use of the going concern basis of
accounting and, based on the audit evidence obtained, whether a material uncertainty exists
related to events or conditions that may cast significant doubt on the Company’s and Group’s
ability to continue as a going concern. If we conclude that a material uncertainty exists, we are
required to draw attention in our auditor’s report to the related disclosures in the separate and
consolidated financial statements or, if such disclosures are inadequate, to modify our opinion.
Our conclusions are based on the audit evidence obtained up to the date of our auditor’s
report. However, future events or conditions may cause the Company and Group to cease to
continue as a going concern.
• Evaluate the overall presentation, structure and content of the separate and
consolidated financial statements, including the disclosures, and whether the separate and
consolidated financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding the financial information of the
entities or business activities within the Group to express an opinion on the consolidated
financial statements. We are responsible for the direction, supervision and performance of the
Company and Group audit. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the
planned scope and timing of the audit and significant audit findings, including any significant
deficiencies in internal control that we identify during our audit.
SPACE HELLAS S.A.
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212
We also provide those charged with governance with a statement that we have complied with
relevant ethical requirements regarding independence, and to communicate with them all
relationships and other matters that may reasonably be thought to bear on our independence,
and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determine those
matters that were of most significance in the audit of the separate and consolidated financial
statements of the current period and are therefore the key audit matters.
Report on Other Legal and Regulatory Requirements
1. Board of Directors’ Report
Taking into consideration that management is responsible for the preparation of the Board of
Directors’ Report and Corporate Governance Statement that is included therein, according
to the provisions of paragraph 5 article 2 of Law 4336/2015 (part B), we report that:
a) The Board of Directors’ Report includes a Corporate Governance Statement that contains
the information required by article 152 of Law 4548/2018.
b) In our opinion the Board of Directors’ Report has been prepared in accordance with the
legal requirements of articles 150-151 and 153-154, and paragraph 1 (c and d) of article 152 of
the Law 4548/2018 and the content of the Board of Directors’ report is consistent with the
accompanying consolidated financial statements for the year ended 31 December 2023.
c) Based on the knowledge and understanding concerning the Company and its environment,
gained during our audit, we have not identified information included in the Board of Directors’
report that contains a material misstatement.
2. Additional Report to the Audit Committee
Our opinion on the consolidated financial statements is consistent with our Additional Report to
the Audit Committee of the Group, in accordance with Article 11 of the EU Regulation 537/2014.
SPACE HELLAS S.A.
Annual Report 2023
213
3. Provision of Non-audit Services
We have not provided any prohibited non-audit services per Article 5 of the EU Regulation
537/2014. Permitted non-audit services provided by us to the Company during the year ended
December 31, 2023, are disclosed in note 4.6.3.1 of the separate and consolidated financial
statements.
4. Appointment of the Auditor
We were appointed for the first time as Auditors of the Company and the Group by decision of
the Annual General Meeting of Shareholders on 28/06/2005. Since then, our appointment has
been continuously renewed for a total period of 18 years, based on the annual decisions of the
regular General Meetings.
5. Corporate Operating Regulation
The Company has an Operating Regulation according to the content provided by the
provisions of article 14 of Law 4706/2020
6. Assurance Report on the European Single Electronic Format
We examined the digital files of the company SPACE HELLAS S.A. (hereinafter the Company
and the Group), which have been drawn up in accordance with the European Single Electronic
Format (ESEF) as defined by the delegated European Commission Regulation (EU) 2019/815, as
amended by Regulation (EU) 2020/1989 ( hereinafter ESEF Regulation), which include the
corporate and consolidated financial statements of the Company and the Group for the year
ended December 31, 2023, in XHTML, as well as the prescribed XBRL file
(213800BFLX55D42JQM05-2023-12-31-el.zip) with the appropriate marking, on the
aforementioned consolidated financial statements.
SPACE HELLAS S.A.
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214
Regulatory framework
The digital files of the European Single Format are compiled in accordance with ESEF Regulation
and 2020 / C 379/01 Interpretative Communication of the European Commission of 10
November 2020, as provided by Law 3556/2007 and the relevant announcements of the
Hellenic Capital Market Commission and the Athens Stock Exchange (hereinafter "ESEF
Regulatory Framework"). In summary, this Framework includes, inter alia, the following
requirements:
- All annual financial reports should be in XHTML format.
- For the consolidated financial statements in accordance with International Financial
Reporting Standards, the financial information contained in the Statement of Comprehensive
Income, the Statement of Financial Position, the Statement of Changes in Equity and the
Statement of Cash Flows should be reversed. 'tags'), according to the ESEF Taxonomy, as in
force. The technical specifications for ESEF, including the relevant classification, are set out in
the ESEF Regulatory Technical Standards.
The requirements set out in the current ESEF Regulatory Framework are appropriate criteria for
reaching a reasonable assurance conclusion.
- All annual financial reports should be drawn up in XHTML format.
- With regard to the consolidated financial statements based on International Financial
Reporting Standards, the financial information included in the Statement of Comprehensive
Income, the Statement of Financial Position, the Statement of Changes in Equity and the
Statement of Cash Flows, as well as the financial information included in the other explanatory
information, should be marked with XBRL tags (XBRL 'tags' and 'block tags'), according to the
ESEF Taxonomy, as applicable. The technical specifications for the ESEF, including the relevant
taxonomy, are listed in the Regulatory Technical Standards of the ESEF.
The requirements set out by the current ESEF Regulatory Framework are appropriate criteria to
express a conclusion that provides reasonable assurance.
SPACE HELLAS S.A.
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215
Responsibilities of management and those charged with governance
The management is responsible for the preparation and submission of the corporate and
consolidated financial statements of the Company and the Group, for the year ended
December 31, 2023, in accordance with the requirements set by the ESEF Regulatory
Framework, as well as for those seals. internal control that the administration determines as
necessary, in order to enable the compilation of digital files free of material error, due to either
fraud or error.
Auditor’s responsibilities
It is our responsibility to plan and carry out this assurance work, in accordance with no. 214/4 /
11-02-2022 Decision of the Board of Directors of the Accounting Standardization and Auditing
Committee (ELTE) and the "Guidelines in relation to the work and the assurance report of the
Certified Public Accountants on the European Single Electronic Reference Format (ESEF) of
issuers with securities listed on a regulated market" as issued by the Board of Certified Auditors
on 14/02/2022 (hereinafter "ESEF Guidelines"), in order to obtain reasonable assurance that the
company and consolidated financial statements of the Company and the Group prepared by
the management in accordance with ESEF comply with in every essential aspect with the
current ESEF Regulatory Framework.
Our work was carried out in accordance with the Code of Ethics for Professional Auditors of the
Council of International Standards of Ethics of Auditors (Code SDPDE), as it has been
incorporated into Greek Legislation and in addition we have fulfilled the ethical obligations of
independence, according to Law 44497. (EU) 537/2014.
The assurance work we conducted restrictively covers the items covered by the ESEF Guidelines
and was carried out in accordance with International Assurance Engagements Standard 3000,
“Assurance Engagements Other than Audits or Reviews of Historical Financial Information”.
Reasonable assurance is a high level of assurance, but it is not a guarantee that this work will
always detect a material error regarding non-compliance with the requirements of the ESEF
Framework.
SPACE HELLAS S.A.
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216
Conclusion
Based on the work performed and the evidence obtained, we conclude that the company
and consolidated financial statements of the Company and the Group, for the year ended
December 31, 2023, in XHTML file format, as well as the prescribed XBRL file
(213800BFLX55D42JQM05-2023-12-31-el.zip) with the appropriate marking, on the
aforementioned consolidated financial statements, have been prepared, in all essential
respects, in accordance with the requirements of the ESEF Regulatory Framework.
Athens, 23 April 2024
PKF EUROAUDITING S.A.
Certified Public Accountant
Certified Public Accountants
124 Kifissias Avenue, 115 26 Athens
DIMOS N. PITELIS
S.O.E.L. Reg. No. 132
SOEL Reg. 14481
SPACE HELLAS S.A.
Annual Report 2023
217
4 ANNUAL FINANCIAL STATEMENTS FOR THE PERIOD FROM 1
st
JANUARY 2023 TO 31
st
DECEMBER 2023
4.1 TOTAL COMPREHENSIVE INCOME STATEMENT
4.1.1 INCOME STATEMENT
01.01-
31.12.2023
01.01-
31.12.2022
01.01-
31.12.2023
01.01-
31.12.2022
Revenue
4.6.1
Cost of sales -117.205 -98.980 -99.928 -90.481
Gross profit 30.873 21.683 23.675 19.856
Other income
4.6.2
Administrative expenses
4.6.3
-11.318 -9.657 -7.830 -7.217
Research and development cost
4.6.3
-2.194 -1.837 -2.194 -1.837
Selling and marketing expenses
4.6.3
-10.725 -10.025 -7.937 -7.194
Other expenses
4.6.4
-3.214 -897 -1.459 -741
Earnings before taxes,investing and financial results
Interest & other similar income 337 2.631 308 2.664
Interest and other financial expenses -8.704 -4.962 -8.014 -4.503
Profit/(loss) from revaluation of investments
in subsidiaries - associated companies
4.6.5
Profit/(loss) before taxes 7.413 5.442 4.581 4.470
Less: Taxes
4.6.6
-2.518 -683 -1.435 -1.138
Discontinued operations result after taxes -91 261 - -
Profit after taxes (A) 4.804 5.020 3.146 3.332
- Equity Shareholders 4.786 4.685 3.146 3.332
- Minority Interests in subsidiaries 18 335 - -
Earnings per share - basic (in €) 0,7413 0,7256 0,4873 0,5161
Profit after taxes 17.480 10.512 12.049 8.895
Less depreciation 6.199 3.484 3.548 2.388
Profit before interest and taxes, (EBIT) 11.281 7.028 8.501 6.507
Profit before taxes 7.413 5.442 4.581 4.470
Profit after taxes 4.804 5.020 3.146 3.332
Amounts in € thousand
Notes
Group
Company
SUMMARY OF INCOME STATEMENT
The Group's figures from the previous period have been adjusted to make them comparable with those of the current period due to
the application of IFRS 5 (note 4.8.1) following the spin-off of the subsidiary SINGULARLOGIC.
SPACE HELLAS S.A.
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218
4.1.2 OTHER COMPREHENSIVE INCOME STATEMENT
01.01-
31.12.2023
01.01-
31.12.2022
01.01-
31.12.2023
01.01-
31.12.2022
Profit after taxes (A) 4.804 5.020 3.146 3.332
- Company Shareholders 4.786 4.685 3.146 3.332
- Minority Interests in subsidiaries 18 335 - -
Other comprehensive income after taxes
Items that might be recycled subsequently
Currency exchange differences from consolidation of
subsidiaries
-4 3 0 0
Total Items that might be recycled subsequently -4 3 0 0
Items that will not be recycled subsequently
Revaluation of Buldings 0 1.944 0 1.944
Deffered tax from revaluation of buldings 0 -427 0 -427
Adustments due to spin- off -170 0 0 0
Actuarial losses due to accounting policy change (IAS19) 11 -8 -10 -43
Actuarial loss taxes -2 2 2 9
Consolidation adjustments after taxes 0 -103 0 0
Deletion of Minority Rights due to selling of subsidiary 58 0 0 0
Total Items that will not be recycled subsequently -103 1.408 -8 1.483
Other comprehensive income after taxes (B) -107 1.411 -8 1.483
Total comprehensive income after taxes (A) + (B) 4.697 6.431 3.138 4.815
-Company Shareholders 4.679 6.061 3.138 4.815
- Minority Interests in subsidiaries 18 370 - -
Profit after taxes 4.804 5.020 3.146 3.332
Other comprehensive income after taxes -107 1.411 -8 1.483
Total comprehensive income after taxes 4.697 6.431 3.138 4.815
Amounts in € thousand
Notes
Group
Company
SUMMARY OF OTHER COMPREHENSIVE INCOME STATEMENT
Note:
Current year
❑ The net amount after taxes of €9 thousand refers to the actuarial results (IAS 19), €58 thousand refers to the write-off of reserves of the subsidiary
SPACE HELLAS SYSTEM INTEGRATOR SRL due to liquidation, and €170 thousand refers to the result of the transformation balance sheet 31-
10-2023 from the spin-off of the subsidiary SINGULARLOGIC.
Previews year
❑ The amount of €1.944 thousand, which was charged directly in the net position, concerns the adjustment of the real estate value, and the
amount -€ 427 thousand the tax thereof, the net amount after taxes of €6 thousand refers to the actuarial results (IAS 19), and the amount
of €3 thousand comes from exchange differences converting values into €.
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4.2 FINANCIAL POSITION STATEMENT
31.12.2023 31.12.2022 31.12.2023 31.12.2022
ASSETS
Non-current assets
Property, plant & equipment
4.6.7
Rights of use
4.6.9
Goodwill
4.6.11
Intangible assets
4.6.8
Investments in subsidiaries
4.6.13
Investments in associates
4.6.13
Other long term receivables
4.6.14
Non-current assets held for sale - 210 - -
Total Non-current assets
Current assets
Inventories
4.6.15
Trade debtors
4.6.16
Other debtors
4.6.17
Financial assets 13 13 13 13
Advanced payments
4.6.18
Cash and cash equivalents
4.6.19
Current assets held for sale - 2.354 - -
Total Current assets
TOTAL ASSETS
EQUITY AND LIABILITIES
Equity attributable to equity holders of the parent
Share Capital
4.6.20
Share premium
4.6.21
Fair value reserves
4.6.21
Other Reserves
4.6.21
Treasury shares 0 0 0 0
Retained earnings 15.138 14.381 12.739 10.606
Equity attributable to equity holders of the parent
Minority interests
Total equity
Non-current liabilities
Other non-current liabilities
4.6.23
Long term loans
4.6.22
Long term leases 2.475 1.446 2.222 1.174
Provisions
4.6.28
Retirement benefit obligations
4.6.25
Deferred income tax liability
4.6.26
Long term liabilities held for sale - 209 - -
Total Non-current liabilities
Current liabilities
Trade and other payables
4.6.27
Income tax payable 7.976 5.357 6.932 4.615
Short-term borrowings 41.670 22.683 38.049 20.263
Short term leases 1.028 1.253 857 661
Short term liabilities held for sale - 2.094 - -
Total Current liabilities
Total Equity and Liabilities
Amounts in € thousand
Group
Company
Notes
The Group's figures of the previous period have been adjusted to make them comparable with those of the current period, due to the
application of IFRS 5 (note 4.8.1) following the spin-off of the subsidiary SINGULARLOGIC.
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4.3 STATEMENT OF CHANGES IN EQUITY
4.3.1 STATAMENT OF CHANGES IN COMPANY’S EQUITY
Amounts in € thousand
Share
Capital
Share
premium
Fair value
reserves
Treasury
shares
Other Reserves
Retained
earnings
Total
Balance at 1 January 2022 6.973 53 2.758 -602 1.241 8.250 18.673
Profit for the year from continued and
discontinued operations
Dividends distributed (profits) 0 0 0 0 0 -775 -775
Revalidation of property 0 0 1.944 0 0 0 1.944
Deferred tax on revaluation of property 0 0 -427 0 0 0 -427
Other reserves formation 0 0 0 0 167 -167 0
Treasury shares purchased 0 0 0 602 0 0 602
Actuarial loss 0 0 0 0 0 -43 -43
Actuarial loss tax 0 0 0 0 0 9 9
Balance at 31 December 2022 6.973 53 4.275 0 1.408 10.606 23.315
Balance at 1 January 2023 6.973 53 4.275 0 1.408 10.606 23.315
Profit for the year from continued and
discontinued operations
Dividends distributed (profits) 0 0 0 0 0 -848 -848
Revalidation of property 0 0 0 0 0 0 0
Deferred tax on revaluation of property 0 0 0 0 0 0 0
Other reserves formation 0 0 0 0 157 -157 0
Treasury shares purchased 0 0 0 0 0 0 0
Actuarial loss 0 0 0 0 0 -10 -10
Actuarial loss tax 0 0 0 0 0 2 2
Balance at 31 December 2023 6.973 53 4.275 0 1.565 12.739 25.605
Note:
Current year
❑ The amount after taxes -8 thousand €, which was entered directly in net worth, concerns an actuarial loss recognized in Other Comprehensive Income (IAS 19)
Previews period
❑ The amount of 1.944 thousand €, which was charged directly in equity, concerns the property valuation adjustment, and the amount of -427 thousand € is the tax thereof.
❑ The amount after taxes -34 thousand € which was charged directly in equity concerns an actuarial loss recognized in Other Comprehensive Income (IAS 19).
❑ The amount of 602 thousand € concerns the disposal of a total of 103,308 own shares in the execution of the decision of the Ordinary General Assembly from 22.06.2022
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4.3.2 STATEMENT OF CHANGES IN GROUP’S EQUITY:
Amounts in € thousand
Share
Capital
Share
premium
Fair value
reserves
Treasury
shares
Other
Reserves
Accumulate
d profit /
(loss)
Total
Non
controlling
interests
Total net
Equity
Balance at 1 January 2022
Profit for the y ear from continued and discontinued operations
Share Capital increase/ (decrease) 0 0 0 0 0 0 0 0 0
Dividends dist ributed (profits) 0 0 0 0 0 -775 -775 0 -775
Other reserv es formation 0 0 0 0 168 -168 0 0 0
Income charged to equity 0 0 0 0 3 -63 -60 -42 -102
Revaluation of assets tax 0 0 1944 0 0 0 1.944 0 1944
Deffered tax ation from rev aluation of asset s 0 0 -427 0 0 0
-427
-427
Treasury shares (sales) / purchases 0 0 0 602 0 0 602 0 602
Actuarial loss 0 0 0 0 0 -23 -23 15 -8
Actuarial loss tax 0 0 0 0 0 5 5 -3 2
Balance at 31 December 2022
Balance at 1 January 2023
Profit for the y ear from continued and discontinued operations 0 0 0 0 0 4.786
Share Capital increase/ (decrease)
Dividends dist ributed (profits) 0 0 0 0 0 -848
-848
-848
Other reserv es formation 0 0 0 0 329 -329
Income charged to equity 0 0 0 0 56 -170
-114
-114
Revaluation of assets tax 0 0 0 0 0 0 0 0 0
Change of ow nership in subsidiaries 0 0 0 0 0 -2.691 -2.691 -3.609 -6.300
Deffered tax ation from rev aluation of asset s 0 0 0 0 0 0 0 0 0
Treasury shares (sales) / purchases 0 0 0 0 0 0
Actuarial loss
Actuarial loss tax 0 0 0 0 0 -2
-2
-2
Balance at 31 December 2023
Current year
❑ The amount after taxes of 9 thousand €, which was charged directly in equity, concerns an actuarial loss recognized in Other Comprehensive Income (IAS 19).
❑ the amount of 58 thousand € refers to the write-off of reserves of the subsidiary SPACE HELLAS SYSTEM INTEGRATOR SRL due to liquidation
❑ The amount of -2.691 thousand € results from the change in our percentage in the subsidiary SingularLogic.
❑ The amount -170 thousand € refers to the result of the transformation balance sheet 31-10-2023 from the spin-off of the subsidiary SINGULARLOGIC.
Previews period
❑ The amount of 3 thousand € comes from exchange differences converting values into €.
❑ The amount of 1.944 thousand € which was entered directly in the net position concerns the real estate value adjustment, and the amount -427 thousand € the tax thereof.
❑ The amount after taxes -6 thousand € which was charged directly in equity concerns an actuarial loss recognized in Other Comprehensive Income (IAS 19)
❑ The amount of 602 thousand € concerns the disposal of a total of 103.308 own shares in execution of the decision of the Ordinary General Assembly from 22.06.2022.
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4.4 CASH FLOW STATEMENT
01.01-
31.12.2023
01.01-
31.12.2022
01.01-
31.12.2023
01.01-
31.12.2022
Cash flows from operating activities
Profit/(Loss) Before Taxes 7.413 5.442 4.581 4.470
Adjustments for:
Depreciation & amortization 6.199 3.484 3.548 2.388
Provisions 378 -41 198 176
Foreign exchange differences 459 -770 452 -761
Net (profit)/Loss from investing activities -4.998 -44 -4.071 188
Interest and other financial expenses 8.704 4.962 8.014 4.503
Plus or minus for Working Capital changes:
Decrease/(increase) in Inventories 762 -7.287 270 -7.150
Decrease/(increase) in Receivables -9.023 -10.553 -7.240 -12.482
(Decrease)/increase in Payables (excluding banks) 1.842 9.404 -789 12.863
Less:
Interest and other financial expenses paid -7.691 -4.304 -7.077 -3.965
Taxes paid -187 298 -205 0
Operating Cashflow from discontinued operations 90 87 - -
Total cash inflow/(outflow) from operating activities (a) 3.948 678 -2.319 230
Cash flow from Investing Activities
Purchase of subsidiaries -6.300 -43 -6.300 -43
Purchase of tangible and intangible assets -11.185 -7.341 -8.872 -4.228
Proceeds from sale of tangible and intangible assets 34 44 22 15
Proceeds from sale of subsidiaries 11.800 - 11.800 -
Interest received 322 - 309 -
Dividents received 0 0 438 1.226
Investment Cashflow from discontinued operations -21 -56 - -
Total cash inflow/(outflow) from investing activities (b) -5.350 -7.396 -2.603 -3.030
Cash flow from Financing Activities
Proceeds from Borrowings 27.511 30.732 22.742 27.486
Payments of Borrowings -27.852 -15.818 -23.655 -15.068
Proceeds from leases -1.458 -1.213 -856 -670
Purchase of Treasury shares 0 -257 0 -257
Dividends paid -848 -775 -848 -775
Financing Cashflow from discontinued operations -48 -31 - -
Total cash inflow/(outflow) from financing activities (c) -2.695 12.638 -2.617 10.716
Net increase/(decrease) in cash and cash equivalents
(a)+(b)+(c)
-4.097 5.920 -7.539 7.916
Cash and cash equivalents at beginning of period 29.185 23.265 27.329 19.413
Cash and cash equivalents at end of period 25.088 29.185 19.790 27.329
Amounts in € thousand
Group
Company
The Group's figures from the previous period have been adjusted to make them comparable with those of the current period due to
the application of IFRS 5 (note 4.8.1) following the spin-off of the subsidiary SINGULARLOGIC.
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4.5 NOTES ON SIGNIFICANT ACCOUNTING POLICIES AND OTHER EXPLANATORY INFORMATION
4.5.1 INFORMATION ON SPACE HELLAS S.A
4.5.1.1 General Information
The company operating under the corporate name “SPACE HELLAS S.A ”, by virtue of the
revised Deed of Association (revision date 08.07.2007) and approved by the Ministry of
Development (decision K2-10518), was founded in 1985, (Deed of Association, upon power of
attorney n.86369/15.07.1985, approved by the Prefecture of Attiki, EΜ 4728/1.8.85, and
published in the Official Gazette of Greece, FEK 2929/8.8.85 ΤAE & EPE). The company’s
duration has been set to 100 years; its legal address is Mesogion Ave 312, Agia Paraskevi, Attica,
Greece. On 30.06.2008, the decision of the General Meeting, approved by the Ministerial
Decision K2 9624/1-9-2008 (registered in the Societers Anonymes Register on 01.09.2008) and
published in the Official Gazette of Greece (FEK 10148/3.9.2008 ΤAE & EPE), has extended the
company’s up to 23.7.2049.
The company’s S.A. Business Register Number (GE.M.I) is 375501000, and the Tax Identification-
VAT Number (AFM) is 094149709. The company’s shares are ordinary registered shares and
have been listed in ASE since 29.09.2000. Its headquarters are in the municipality of Agia
4.5.1.2 Operating Activities
For more than 38 years, Space Hellas has consistently confirmed its leading role in the ICT market
(Information and Communication Technologies), whether in the design, installation and
Space Hellas is a leading System Integrator and Value Added Solutions Provider in the field of
Telecommunications, Information Technology and Security. It offers complete technological
solutions, certified according to the quality assurance standard ISO 9001: 2015 and information
security ISO / IEC 27001: 2013, which ensures that its processes include all the necessary controls
on issues of confidentiality, integrity and availability of information so that data and resources
involved in any commercial activity are protected.
As an innovative company, it pioneers new technology trends such as Cloud Based Services,
the Internet Of Things, Smart Cities, Big Data, Blockchain, AI, etc. The wide range of solutions
and services available covers all types of needs in ICT and security technologies such as data
communications, IT and IT infrastructure, telecommunications, unified communications,
information security and physical security, audiovisual systems, etc. Also, remote access services
(managed services) are provided, as well as consulting, training and transfer of know-how,
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project management, information security management system development services, and
personal data protection program development services in order to adapt to the requirements
of GDPR and DPO Services.
Space Hellas, offers an unparalleled quality of technical support services to its customers
according to the IT service management standard ISO 20000: 2018 and through the award-
winning state-of-the-art Network and Business Support Center, which operates according to the
ITILv3 standard serves the largest companies, financial institutions and public organizations on
a 24-hour basis, offering the ability to repair damage within 2 hours for customers who have
strict SLAs. Through this, all technical support services are coordinated at national level and
abroad.
Its clientele includes the largest banks and private companies, industries, store chains,
telecommunications service providers, ministries and government agencies, as well as the
Armed Forces.
Space Hellas's superiority is recognized by its customers, who trust it. Over the course of its many
years of presence, the company has entered into strategic partnerships with the most important
international high-tech providers, which allows it to successfully carry out large and complex
projects for companies of high prestige and organizations in Greece and abroad.
Space Hellas' commitment to research and development offers a significant lead in ICT markets
(IT and Communication Technologies), and security that revolve around innovation and
knowledge activities. The company's ongoing investments, as well as its participation in National
and International research and innovative programs in close cooperation with internationally
recognized organizations, enable it to identify excellent opportunities for innovation, explore
and develop new technologies and implement the acquired knowledge in the direction of
meeting the future and ever-changing requirements of its customers.
4.5.1.3 Composition of the Board of Directors
The Board of Directors (BoD) of the Company consists of 9 members with different skills and
characteristics. His responsibilities concern the supervision and management of the
Company's governance issues, which affect both its daily operation and its long-term
development.
On 10-14-2022, with Registration Code number 3110971, the minutes of the company's Board
of Directors from 10-10-2022 were registered in the General Commercial Register (G.E.MH.).
According to these minutes, the Board of Directors elected Mr. Eirinaios G. Theodorou as a new
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independent non-executive member to replace the resigned independent non-executive
member Mr. Theodoros Gakis for the remainder of his term.
The board of Directors of the company was reconstituted as follows:
❑ Spyridon D. Manolopoulos, Chairman of the Board, executive member
❑ Chatzistamatiou N. Theodoros, Vice president, non-executive member.
❑ Panagiotis C. Mpellos, Vice President executive member.
❑ Ioannis A. Mertzanis Chief Executive Officer, executive member.
❑ Ioannis A. Doulaveris, executive member
❑ Paparizou K. Anastasia, executive member.
❑ Anna S. Kalliani, Independent non-executive member
❑ Chatiras I. Emmanouil, indipendent non-executive member
❑ Eirinaios G. Theodorou indipendent non-executive member
The operation of the Board of Directors is supported by the Board Committees, which have
certain areas of responsibility, as well as from internal units which, in collaboration with
Committees monitor and ensure its orderly and efficient activity of Space Hellas. Specifically,
the Company has the following Board Committees and Units:
Audit Committee
Internal control unit
Board remuneration and nominations committee
Risk Management Unit
Regulatory Compliance Uni
4.5.1.4 Group’s Structure
SPACE HELLAS S.A. is the parent company of the Group. The consolidated financial statements
(Group) include the financial statements of the parent Company, its subsidiaries, affiliates and
joint ventures. A table showing the Group's investments and the method of consolidation as of
31.12.2023 is presented below:
SPACE HELLAS S.A.
Annual Report 2023
Corporate name
Country
Sector
Ownership
percentage
Direct Indirect
Consolidation
method
Subsidiaries
SPACE HELLAS (CYPRUS) LTD
Cyprus ICT 100% - Full
SPACE HELLAS Doo Beograd-Stari Grad Serbia ICT - 100% Full
SPACE HELLAS (MALTA) LTD Malta ICT - 100% Full
SPACE ARAB LEVANT TECHOLOGIES COMPANY Jordan ICT - 100% Full
SENSE ONE TECHNOLOGIES Single Member S.A. Greece Internet of Things (ΙοΤ) 100% Full
SINGULARLOGIC ΑΕ
-
Full
GREEK INFORMATION TECHNOLOGY
HOLDINGS ΑΝΩΝΥΜΟΣ ΕΤΑΙΡΕΙΑ «G.I.T.
Greece Holding company - 100% Full
HOLDINGS A.E.»
GREEK INFORMATION TECHNOLOGY (CYPRUS)
Cyprus Holding company - 100% Full
LIMITED
SINGULARLOGIC ROMANIA COMPUTER
Romania IT and Software - 40% Equity
APPLICATION S.R.L.
SINGULARLOGIC CYPRUS LIMITED Cyprus IT and Software - 99,88% Full
Associates
Web-IQ B.V.
Netherlands Specialiased applications 32,28% - Equity
Specialiased applications in
AgroApps Private Company Greece
35% - Equity
agriculture
Other investments
MOBICS S.A.
Greece Software development 18,10% - -
P-ΝΕΤ Emerging New Generation Networks and
Greece Software development 2,27% - -
Applications P.C.
14ByDesign
Greece Spin off 2,00% - -
On November 18, 2022, it was decided to dissolve and liquidate the sub-subsidiary company
SPACE HELLAS SYSTEM INTEGRATOR SLR, which was deleted from the Romanian register in the
first quarter of 2023. The liquidation weighed on the group's results.
On September 22, 2023, Space Hellas S.A. sold its minority stake (39,97%) in the company "Epsilon
SingularLogic SA" with the buyer company "EPSILON NET S.A." with the price amounting to 11,8
million euros, while at the same time it purchased 39,933% of the company "SingularLogic
Anonyme Company of Information Systems and IT Applications" (hereinafter "SINGULARLOGIC")
from the company "EPSILON NET S.A." with the price amounting to 6,3 million euros.
On 07/12/2023, the General Meeting of the shareholders of SINGULARLOGIC CYPRUS decided
to increase its share capital by the amount of €1.583.398,44 with the capitalization of obligations
owed by the subsidiary SINGULARLOGIC CYPRUS to the parent SINGULARLOGIC S.A. and cash
payment in the amount of €1.449,38. Following the above, the total share capital of the
company amounts to €1.754.398,44, divided into 718.174 class A and 307.790 class B shares.
226
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227
SINGULARLOGIC SA's participation rate was 99,88% from 98,80% before the increase and
corresponds to 718.174 class A shares and 306.590 class B shares, worth 1,71 each.
4.5.2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICES
4.5.2.1 Basis of Preparation
The accompanying annual financial statements have been prepared in accordance with the
International Financial Reporting Standards (IFRS) as issued by the International Accounting
Standards Council (IASC), as well as their relevant Interpretations, as published by the Standing
Committee. adopted by the European Union and binding on the uses expiring on 31 December
2023, in addition to the new standards and interpretations adopted, the implementation of
which has become mandatory for periods after 1 January 2024.
The accompanying annual financial statements have been prepared complying with the
historical cost convention, adjusted with the revaluation of certain assets and liabilities at fair
values and with the principle of going concern «going concern».
The Group's comparative advantage is its satisfied customers, its specialized know-how, its
excellent organization, continuous investment in modern equipment, its staffing with highly
specialized human resources, the development of new products, the recognition of its
credibility demonstrated by the excellent relations of the Group with its suppliers and the largest
credit institutions in the country and abroad are the guarantee for long-term survival with
significant benefits for the shareholders.
The figures in this report are shown in thousands of euros, except when otherwise indicated. Any
differences presented between the amounts in the financial statements and the corresponding
amounts in the notes are due to rounding. Where necessary, comparative figures have been
classified to conform to changes in the presentation of the elements of this period.
The preparation of financial statements was made in accordance with International Financial
Reporting Standards, and the Group Management is required to make assumptions and
accounting estimates that affect the reported amounts of assets and liabilities and disclosure
of contingent assets and liabilities at the date of preparation of financial statements as well as
the reported revenues and expenses during the reporting period.
Management evaluates the estimates and assumptions, which mainly include any pending
legal cases, the provision for expected credit losses, the useful life of non-financial assets, the
impairment of property, plant and equipment, impairment of goodwill, impairment of intangible
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228
assets, impairment of participations, provision for staff compensation due to retirement,
recognition of income and expenses and income taxes. The estimates and assumptions are
based on existing experience and various other factors that are considered reasonable and
form the basis for making decisions about the carrying amounts of assets and liabilities that are
not readily available from other sources.
Actual results may differ from the above estimates under different assumptions or conditions.
The significant accounting estimates and assumptions regarding future and other main sources
of uncertainty at the date of preparation of the financial statements and entail a significant risk
of causing material adjustments to the accounting values of the assets and liabilities within the
next fiscal year are as follows:
Impairment of goodwill
The Group assesses whether there is an impairment of goodwill, at least on an annual basis. For
this reason, it is necessary to estimate the use value of each cash-generating unit to which a
goodwill amount has been allocated. The valuation of the use requires the Group to estimate
the future cash flows of the cash-generating unit and to select the appropriate discount rate,
based on which the present value of the above future cash flows will be determined. Additional
details on impairment testing are included in note 4.6.11.
Income tax provision
The provision for income tax under IAS 12 "Income Taxes" refers to the amounts of taxes
expected to be paid to the tax authorities and includes the provision for current income tax
and the provision for any additional taxes that may arise as a result of an audit by the tax
authorities. The Group companies are subject to different laws regarding income tax, and
therefore, a significant assessment is required by the management in order to determine the
Group's provision for income taxes. Income taxes may differ from these estimates due to future
changes in tax legislation, significant changes in the laws of the countries in which the Group
and the Company operate, or unforeseen consequences from the final determination of the
tax liability of each fiscal year by the tax authorities. These changes can have a significant
impact on the financial position of the Group and the Company. In the event that the resulting
final surcharges are different from the amounts originally recorded, these differences will affect
income tax and deferred tax provisions for the year in which the tax differences were
determined. Additional details are included in Note 4.6.6.
Deferred tax assets and liabilities
Deferred tax assets and liabilities are recognized in the event of temporary differences between
the accounting base and the tax base of the assets and liabilities using the tax rates that have
been enacted and are expected to apply in the periods in which those differences are
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229
expected to be eliminated. Deferred tax liabilities are recognized for all deductible temporary
differences and transferable tax losses to the extent that it is probable that taxable income will
be available that will be used against the deductible temporary differences and the
transferable unused taxable assets. The Group and the Company take into account the
existence of future taxable income and follow a continuous conservative tax planning strategy
when estimating the recovery of deferred tax assets. Accounting estimates related to deferred
tax assets require management to make assumptions about the timing of future events, such
as the probability of expected future taxable income and the tax planning options available.
Additional details are included in Note 4.6.26.
Provisions for expected credit losses from receivables from customers and contractual assets
The Group and the Company apply the simplified approach of IFRS 9 for the calculation of
expected credit losses, according to which the loss forecast is always measured at an amount
equal to the expected lifetime credit losses for receivables from customers and contractual
assets. The Group and the Company have formed a provision for expected credit losses in order
to adequately cover the loss that can be reliably estimated and derived from these
receivables. At each financial statement date, all receivables are estimated based on historical
trends, statistics, and future expectations regarding the collection of receivables from overdue
customers. The formed forecast is adjusted by burdening the results of each year. Any write-offs
of receivables from accounts receivable are made through the formed provision. Additional
details are included in Note 4.6.16.
Post-employment benefits and other defined benefit plans
Liabilities for staff compensation due to retirement are calculated at the discounted present
value of the future compensation benefits accrued at the end of the year. Liabilities for these
benefits are calculated on the basis of financial and actuarial assumptions that require
management to make assumptions about discount rates, wage increases, mortality and
disability rates, retirement ages and other factors. Changes in these key assumptions can have
a significant effect on the liability and related costs of each period. The net cost of the period
consists of the present value of the benefits incurred during the year, the interest-bearing future
liability, the accrued service costs and the actuarial gains or losses. Due to the long-term nature
of these defined benefit plans, these assumptions are subject to a significant degree of
uncertainty. Additional details are included in Note 4.6.25
Assessment of the useful life of assets
The Group and the Company must assess the useful life of tangible assets as well as intangible
assets which are recognized either through acquisition or through business combinations. These
estimates are reviewed at least annually, taking into account new data and market conditions.
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230
Contingent liabilities
The Group and the Company examine the cases of any legal case or dispute on a periodic
basis and assess the potential financial risk based on the opinion of the legal services. If the
potential loss from any dispute or legal case is considered probable and the amount can be
estimated reliably, the Group and the Company calculate a provision for the estimated loss.
Both in determining the probability and in determining whether the risk can be reliably assessed,
management judgment is required to a significant degree. When additional information
becomes available, the Group and the Company review the contingent liability and litigation
and may revise estimates of the likelihood of an adverse outcome and the related estimate of
potential loss. Such revisions to the estimates of the contingent liability may have a material
effect on the financial position and results of the Group and the Company.
Impairment of property, plant, and equipment
Determining the impairment of property, plant, and equipment requires estimates but is not
limited to the cause, time and amount of the impairment. Impairment is based on a number of
factors, such as technological depreciation, service interruption, current replacement costs,
and other changes in circumstances that indicate impairment. The recoverable amount is
usually determined using the discounted cash flow method. The determination of impairment,
as well as the estimation of future cash flows and the determination of the fair values of assets
(or groups of assets), require management to make significant estimates regarding the
determination and assessment of impairment, expected cash flows, the discount rates to be
applied, the useful lives and the residual values of the fixed assets
Determining the duration of the lease of contracts with extension or termination rights
The Group and the Company determine the duration of the lease as the irrevocable period of
the lease, in combination with the periods covered by the right to extend the lease if it is rather
certain that they will be exercised or the periods covered by the right to terminate the lease if
it is rather certain that they will not be exercised. The Group and the Company have certain
lease agreements that include extension and termination rights and apply judgment to assess
whether the exercise of the extension right or the non-exercise of the right to terminate the lease
is more certain. For this reason, all relevant events that create a financial incentive for the lessee
to exercise the right to extend the lease or not to exercise the right to terminate the lease are
examined. After the start date of the lease term, the Group and the Company reassess the
duration of the lease in the event of a significant event or significant change in circumstances
that come under their control and affect whether or not they are likely to exercise the lease
right of extension or termination (e.g., making significant improvements or significant
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231
adjustments to the leased asset, ability to replace leased assets without significant cost or
disruption of activities). Additional details are included in Note 4.6.9.
Leases - Estimation of the interest rate increase
The Group and the Company use the Incremental Borrowing Rate (I.B.R.) to determine the lease
interest rate so that their lease liabilities can be measured. The incremental interest rate is the
interest rate that the Group would bear if it borrowed the necessary funds to purchase an asset
of similar value to the asset with a right of use, for a similar period of time, with similar collateral
and in a similar financial environment.
In order to determine this interest rate, the following methodological approach is followed:
❑ Determination of existing borrowing rate, which is defined as the average borrowing
rate of the Group.
❑ Assessment of the creditworthiness of the company and its credit rating based on the
credit rating methodology of the recognized international rating agency Moody’s
Investors Service.
❑ Assessment of the Group's creditworthiness and its credit rating after the Additional Debt
based on the credit rating - rating methodology of the recognized international rating
agency Moody’s.
❑ Determination of the change that will occur in the credit rating of the Group due to the
increase of the total debt with the total nominal value of all the rents of the Group
foreseen for the following years, according to the methodology of Moody’s.
❑ Calculation of the incremental interest rate (IBR) that will be used to estimate the present
value of the projected rents of each professional (operating) lease, which will result from
the existing borrowing rate increased by a premium due to the Additional Debt assumed
by the Group.
Depreciation of Inventories
Provisions are formed for depreciated, useless, and stocks with very low market movement.
Reductions in the value of inventories to net realizable value and other impairment losses on
inventories are recognized in the income statement during the period in which they are
incurred.
Construction contract budgets
The handling of the revenue and expenses of a construction contract depends on whether the
final result from the execution of the contractual project can be estimated reliably. When the
result of a project contract can be estimated reliably, then the revenue and expenses of the
contract are recognized during the contract period, respectively, as revenue and expense. The
Group uses the completion stage to determine the appropriate amount of income and output
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to recognize in a given period. The completion stage is measured based on the contractual
cost incurred up to the reporting date in relation to the total estimated construction cost of
each project. Therefore, significant estimates of the management are required regarding the
gross margin with which the executed construction contract will be executed (estimated
execution cost).
4.5.2.2 Accounting Methods and Their Changes
The accounting principles and calculations on which the financial statements were prepared
are consistent with those used to prepare the annual financial statements as of December 31,
2022, and have been consistently applied, except for the following amendments, which were
adopted by the group on January 1, 2023.
4.5.2.3 New standards, standard revisions, and interpretations
Standards and interpretations mandatory for the current year:
New Standards, Interpretations, Revisions and Amendments to existing Standards have entered
into force and have been adopted by the European Union.
The following new Standards, Interpretations and amendments to Standards have been issued
by the International Accounting Standards Board (IASB), have been adopted by the European
Union, and their application is mandatory from 01.01.2023 or later.
Amendments to IAS 1 "Presentation of Financial Statements and IFRS 2 Statement of Practice"
(applicable for annual periods beginning on or after 01/01/2023). In February 2021, the IASB issued
limited-purpose amendments to accounting policy disclosures. The purpose of the
amendments is to improve the disclosures of accounting policies in order to provide more useful
information to investors and other users of the Financial Statements. More specifically, the
amendments require the disclosure of significant information related to accounting policies
rather than the disclosure of significant accounting policies. The Group examined, evaluated
and amended the disclosure of its accounting policies in accordance with the instructions of
IAS 1. The above has been adopted by the European Union with an effective date of 01.01.2023.
Amendments to IAS 8 "Accounting Policies, Changes in Accounting Estimates and Errors:
Definition of Accounting Estimates" (applicable for annual periods beginning on or after 01/01/2023)
In February 2021, the IASB issued limited-purpose amendments that clarify the difference
between a change in accounting estimate and a change in accounting policy. This distinction
is important, as the change in accounting estimate is applied without retroactive effect and
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only to future transactions and other future events, in contrast to the change in accounting
policy which has retrospective effect and is applied to transactions and other events of the
past. The Group examined the impact of all of the above on its Financial Statements, which
have no effect. The above has been adopted by the European Union with an effective date
of 01.01.2023.
Amendments to IAS 12 "Income Taxes": International Tax Reform – Pillar II Standard Rules
(immediately applicable and for annual periods beginning on or after 01.01.2023)
In May 2023, the International Accounting Standards Board (IASB) issued amendments to
IAS 12 “Income Taxes” regarding the Pillar Two Rules of International Tax Reform. The
amendments introduced: a) a temporary exemption from the recognition requirements
for accounting for deferred taxes arising from the implementation of the international tax
reform (Pillar II) and b) additional disclosures for affected businesses. Financial entities can
apply the temporary exemption immediately, but disclosures are required for the annual
period beginning on January 1, 2023. The amendments have no effect on the
consolidated and corporate Financial Statements. The above has been adopted by the
European Union with an effective date of 01.01.2023.
IFRS 17 "Insurance Contracts" (applicable for annual periods beginning on or after 01/01/2023).
In May 2017, the IASB issued a new Standard, IFRS 17, which replaces an interim Standard, IFRS
4. The purpose of the IASB's work was to develop a single principle-based standard for
accounting for all types of insurance contracts, including reinsurance contracts held by an
insurance company. A single principles-based Standard will enhance the comparability of
financial reporting across financial entities, jurisdictions and capital markets. IFRS 17 sets out the
requirements that an entity should apply to the financial information relating to insurance
contracts it issues and reinsurance contracts it holds. In addition, in June 2020, the IASB issued
amendments which, however, do not affect the fundamental principles introduced when IFRS
17 was originally issued. The amendments are designed to reduce costs by simplifying certain
requirements of the Standard, lead to more easily explainable financial performance, as well
as facilitate the transition by postponing the implementation date of the Standard to 2023 while
providing additional assistance in reducing the effort required when first implementing the
Standard. The amendments have no impact on the Group's Financial Statements. The above
has been adopted by the European Union with an effective date of 01.01.2023.
Amendments to IFRS 17 "Insurance Contracts: First-time Application of IFRS 17 and IFRS 9 –
Comparative Period Information" (effective for annual periods beginning on or after 01/01/2023)
In December 2021, the IASB issued a limited-purpose amendment to the transition requirements
in IFRS 17 to address a significant issue related to temporary accounting mismatches between
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insurance contract liabilities and financial assets in comparative information under the first
application of IFRS 17 "Insurance Contracts" and IFRS 9 "Financial Instruments". The amendment
is intended to improve the usefulness of the financial information presented in the comparative
period for the users of the Financial Statements. The amendments have no impact on its
Financial Statements. The above has been adopted by the European Union with an effective
date of 01.01.2023.
New Standards, Interpretations, Revisions and Amendments to existing Standards which have
not yet entered into force or have not been adopted by the European Union.
The following new Standards, Interpretations and amendments to Standards have been issued
by the International Accounting Standards Board (IASB) but have either not yet entered into
force or have not been adopted by the European Union.
Amendments to IAS 1 "Classification of Liabilities as Current or Long-Term" (applicable for annual
periods beginning on or after 01/01/2024)
In January 2020, the IASB issued amendments to IAS 1 that affect the requirements for the
presentation of liabilities. Specifically, the amendments clarify one of the criteria for classifying
a liability as non-current, the requirement for an entity to have the right to defer settlement of
the liability for at least 12 months after the reporting period. The amendments include a)
clarification that an entity's right to defer settlement should exist at the reporting date, b)
clarification that the classification of the liability is not affected by management's intentions or
expectations regarding the exercise of the right to defer settlement, c) explain how the
borrowing conditions affect the classification and d) clarify the requirements regarding the
classification of liabilities of an entity that is to or may settle through the issue of own equity
securities. In addition, in July 2020, the IASB issued an amendment to postpone by one year the
effective date of the originally issued amendment to IAS 1, as a result of the spread of the Covid-
19 pandemic. However, in October 2022, the IASB issued an additional amendment aimed at
improving the information companies provide about long-term debt commitments. IAS 1
requires a company to classify a loan as non-current only if the company can avoid settling the
loan within 12 months after the reporting date. However, a company's ability to do so often
depends on compliance with its commitments. The amendments to IAS 1 specify that
commitments to be met after the reporting date do not affect the classification of the loan as
short-term or long-term at the reporting date. Instead, the amendments to the standard require
a company to disclose information about these commitments in the notes to the financial
statements. The amendments are effective for annual periods beginning on or after January 1,
2024, with early adoption permitted. The Group will examine the impact of all of the above on
its Financial Statements, although they are not expected to have any. The above has been
adopted by the European Union with an effective date of 01.01.2024.
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Amendments to IAS 7 "Statement of Cash Flows" and IFRS 7 "Financial Instruments: Disclosures":
Supplier Financing Arrangements (applicable for annual periods beginning on or after 01.01.2024). In
May 2023, the International Accounting Standards Board (IASB) issued amendments (“Supplier
Finance Arrangements”), which amended IAS 7 “Statement of Cash Flows” and IFRS 7 “Financial
Instruments: Disclosures”. The IASB issued Supplier Financing Arrangements requiring an entity to
provide additional disclosures about supplier financing arrangements. The amendments require
additional disclosures that complement the existing disclosures in these two standards. These
disclosures are intended to help users of financial statements a) assess how vendor financing
arrangements affect an entity's liabilities and cash flows and b) understand the effect of vendor
financing arrangements on liquidity risks and how the entity might be affected if those financial
instruments are no longer available. The amendments to IAS 7 and IFRS 7 are effective for the
accounting period on or after 1 January 2024. The Group will consider the impact of all of the
above on its Financial Statements, although they are not expected to have any. The above
have not been adopted by the European Union.
Amendments to IFRS 16 "Leases: Lease Obligations on a Sale and Leaseback" (applicable for
annual periods beginning on or after 01/01/2024) In September 2022, the IASB issued limited-purpose
amendments to IFRS 16 Leases that add requirements for how a company accounts for a sale
and leaseback after the date of the transaction. A sale and leaseback is a transaction in which,
a company sells an asset and leases the same asset back for a period of time from the new
owner. IFRS 16 includes requirements regarding the accounting treatment of a sale and
leaseback at the date the transaction takes place. However, the Standard did not specify how
to measure the transaction after that date. The issued amendments add to the requirements of
IFRS 16 regarding sale and leaseback, thus supporting the consistent application of the
accounting standard. These amendments will not change the accounting treatment for leases
other than those arising from a sale and leaseback transaction. The Group will examine the
impact of all of the above on its Financial Statements, although they are not expected to have
any. The above has been adopted by the European Union with an effective date of 01.01.2024.
Amendments to IAS 21 "The Effects of Changes in Exchange Rates": Lack of
Exchangeability (applicable for annual periods beginning on or after 01.01.2025) In August 2023,
the International Accounting Standards Board (IASB) issued amendments to IAS 21 The
Effects of Changes in Foreign Exchange Rates that require entities to provide more useful
information in their financial statements when a currency cannot be exchanged in
another currency. The amendments include the introduction of the definition of
exchangeability of a currency, as well as the process by which an entity should assess that
exchangeability. In addition, the amendments provide guidance on how an entity should
calculate the spot rate in cases where the currency is not fungible and require additional
disclosures in cases where an entity has calculated an exchange rate due to lack of
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fungibility. The amendments to IAS 21 are effective for the accounting period on or after
1 January 2025. The Group will consider the impact of all of the above on its Financial
Statements, although they are not expected to have any. The above has not been
adopted by the European Union.
4.5.2.4 Tangible Fixed Assets and Intangible Assets
Fixed assets are presented in the financial statements at their acquisition values or at fair value.
Fair value is the amount for which a fixed asset can be exchanged between parties having
knowledge of the subject matter and acting voluntarily in a purely commercial transaction. The
initial registration/recognition of an asset is always done at cost. The acquisition cost of fixed
assets includes the directly distributed costs (purchase price, shipping, insurance premiums,
non-refundable purchase taxes, etc.) to get the items in working order by the date of
preparation of the financial statements.
Land and buildings of the Company and the Group have been valued at their fair value on
30.06.2022, which was determined after a study by an independent house of certified
appraisers.
The valuers applied the European and International Valuation Standards (EVS 2020, IVS 2020),
as defined by TEGova and IVSC (The European Group Of Valuers' Associations and International
Valuation Standards Council, respectively) as well as the instructions and guidelines of the
Manual Use (Red Book) of the Royal Institution of Chartered Surveyors of Great Britain (Royal
Institution of Chartered Surveyors - RICS - Valuation Professional Standards 2020).
For the valuation of the Market Value of the property in question, the Market Value Method and
the Income Method were used, which are the most appropriate in accordance with the
International Valuation Standards (IVS) and the guidelines and directions of the Royal Institution
of Chartered Surveyors (R.I.C.S).
The Market method is based on the assumption that an informed buyer would not pay more for
the purchase of an asset than the market value of a similar asset for exactly the same use and
purpose.
The Income Method is based on "prediction" and the "principle of supply and demand". It is used
to value shops, hotels, shopping centers and general commercial properties that generate
income.
Then the 2 methods are weighted by applying appropriate weighting factors by the appraiser,
in order to obtain the Market Commercial Value (Fair Value) of the property under appraisal.
Factors Influencing Value
To determine the Commercial Value of the properties under investigation, the appraisers took
into account the following factors:
The current state of the immovable assets, as described below.
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The data provided by our company regarding our appraised properties (titles, plans - plans -
topographical diagrams, etc. - declarations of compliance with relevant laws on settlement of
wrongdoings N.4178/13, N.4495/2017, etc.).
The information received from various sources regarding the current sale prices of real estate
as well as the conditions of demand and supply that apply in each local real estate market.
The remaining tangible fixed assets acquired by the company and the Group are shown at
cost, less accumulated depreciation. Depreciation is charged to the Income Statement on a
straight-line basis over the estimated useful lives of the assets. Land is not depreciated.
Intangible assets include goodwill, concessions and industrial property rights, as well as
computer software both acquired and internally generated as well. The cost of internally
generated software comprises the cost of materials and the cost of personnel as well as other
costs incurred in order to prepare the asset for the intended use. The criteria used in order to
recognize the costs incurred as intangible assets are:
➢ Intention of the Group to proceed in the creation of the asset
➢ Technical possibility of completion of the asset to make it ready for use or sale.
➢ Adequate technical, financial and other resources for the completion of the asset.
➢ Group's ability to use or sale the asset.
➢ Capability of the maternally generated asset to create future economic benefits for the
Group
➢ Reliable measurement of the expenditure attributable to the asset during its
development.
The cost of purchasing and deploying software recognized as intangible assets is depreciated
using the straight-line method over its useful life.
Other intangible assets (acquisition value of a trademark) are not depreciated due to the
inability to reliably measure their commercial viability and inflow in the near future.
The estimated useful life, by category of assets, is as follows:
Description Useful live (in years)
Buildings and buildings installations 50
Buildings and buildings installations in third parties 12
Plant and machinery 16
Plant and machinery Leased 10
Furniture 16
Fittings 10
Office equipment 10
Telecommunication equipment 10
Other equipment 10
Electronics equipment 5
Cars 5
Trucks 10
Other means of transportation 5
Intangible assets (software acquired/internally generated) 5
The assets’ useful lives are reviewed, and adjusted if appropriate, at each balance sheet date.
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4.5.2.5 Investment property
Investment property is intended to generate rental income or profit from its resale. The
properties used for the Group's operating activities are not considered as investment but
operational. This is also the criterion of separation between investment and operating real
estate.
Investment properties as long-term assets are disclosed at fair value, which will be revalued at
each end of the year. Any changes in fair value, which represents the free market price, are
recognized in the other income / expense of the income statement
4.5.2.6 Impairment of Assets
Assets with an indefinite useful life are not depreciated and are subject to an impairment review
annually and when some events suggest that the book value may not be recoverable. Any
resulting difference is charged to the period’s results.
Assets that are depreciated are subject to an impairment review when there is evidence that
their value will not be recoverable. The recoverable value is the greater between the net sales
value and the value in use. An impairment loss is recognized by the company when the book
value of these assets (or cash generating unit- CGU) is greater than its recoverable amount.
Net sales value is the amount received from the sale of an asset at an arm’s length transaction
in which participating parties have full knowledge and participate voluntarily, after deducting
any additional direct cost for the sale of the asset, while value in use is the present value of
estimated future cash flows that are expected to flow into the company from the use of the
asset and from its disposal at the end of its estimated useful life
4.5.2.7 Goodwill
Goodwill is the difference between the purchase cost and the fair value of the Assets and
Liabilities of a subsidiary / associate at the date of acquisition.
The company at the date of purchase recognizes the goodwill arising from the acquisition, as
an asset, and displays it at cost. This cost is equal to the amount of the combination cost which
exceeds the share of the company, in the assets, in the liabilities and in the contingent liabilities
of the acquired company. Goodwill is subject to an impairment test on an annual basis and is
measured at cost less any accumulated impairment losses. At each balance sheet date, the
Group assesses whether there are indications of impairment. If such evidence exists, an analysis
is performed to assess whether the carrying amount is fully recoverable. For easier processing of
impairment tests (impairment test), the amount of goodwill is distributed in cash-generating units
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4.5.2.8 Consolidation
❑ Subsidiaries
Subsidiaries are fully consolidated from the date on which control is transferred to the Group
and are no longer consolidated from the date that control ceases. The purchase method of
accounting is used to account for the acquisition of subsidiaries. Note 1.6(a) outlines the
accounting policy on goodwill. The cost of an acquisition is measured as the sum of the fair
values, at the date of exchange, of the assets given, liabilities incurred or assumed, and equity
instruments issued by the Group, in exchange for control of the acquired plus any costs directly
attributable to the acquisition. The acquired identifiable assets, liabilities and contingent
liabilities are measured initially at their fair values at the acquisition date, irrespective of the
extent of any minority interests.
The excess of the cost of acquisition over the fair value of the net assets of the subsidiary
acquired is recorded as goodwill. Where the cost of the acquisition is less than the fair value of
the Group’s share of the net assets of the subsidiary acquired, the difference is recognized
directly in the income statement.
Inter-company transactions, balances and unrealized gains on transactions between Group
companies are eliminated. Unrealized losses are also eliminated unless cost cannot be
recovered. Accounting policies of subsidiaries have been adjusted where necessary to ensure
consistency with the policies adopted by the Group
Transactions with minority interests
For the accounting treatment of minority transactions, the Group applies the accounting
principle in which it treats these transactions as transactions with third parties outside the Group.
Minority sales create gains and losses for the Group which are recorded in the income
statement. Minority purchases generate goodwill, which is the difference between the
consideration paid and the percentage of the book value of the net worth of the subsidiary
acquired.
❑ Associates
Associates are entities over which the Group generally has between 20% and 50% of the voting
rights, or over which the Group has significant influence, but which it does not control.
Investments in associates are accounted for by the equity method of accounting and are
initially recognized at cost. The Group’s investment in associates includes goodwill (net of any
cumulative impairments losses) identified in acquisition. At the end of each year, the cost
increases with the ratio of the investing company to the changes of the net position of the
invested company and decreases with the dividends received from the associate. The
Company records its investments in affiliated companies, in its separate financial statements,
at cost less any impairment losses
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❑ Joint Ventures
The company's investments in joint ventures are accounted for using the equity method. The
equity method is an accounting treatment in which a shareholding in a jointly controlled entity
is initially recognized at cost and subsequently adjusted for a change in the consortium's equity
after net acquisition of the joint venture. entity. The results of the consortium member include its
share in the profits and losses of the jointly controlled entity
❑ Other companies
Other companies include the value of shares that are not traded on stock markets with a
percentage of less than 20%. These companies do not exercise any control by the Group.
According to the principles of IAS 32 and 39, these investments are presented in the financial
statements at cost less any provision for impairment
4.5.2.9 Inventories
Inventories are shown at a lower cost and net realizable value. Net realizable value is the
estimated selling price, within the ordinary course of business, less the estimated cost of selling.
The cost of inventories is determined by the weighted average method and includes the costs
of acquiring inventories and their specific purchase costs (shipping, insurance premiums, etc.).
Appropriate provisions are formed for devalued, useless and stocks with very low traffic speed.
Reductions in the value of inventories to net realizable value and other impairment losses are
recognized in the income statement during the period in which they are incurred.
4.5.2.10 Trade and Other Receivables - provisions
Receivables are initially recognized at their fair value which is at the same time the transaction
value. They are subsequently valued at their amortized cost, reduced by the bad debt
provision, which is formed when there is a risk of non-collection of all or part of the amount
owed. The Management of the Group periodically reassesses the adequacy of the provision
regarding doubtful receivables in relation to its credit policy and taking into account data of
the Legal Service of the Group, which arise based on historical data processing and recent
developments in the cases it manages. The amount of the impairment provision is the difference
between the carrying amount of receivables and the present value of estimated future cash
flows and is included in the income statement. If, at a later date, the impairment loss decreases
and this decrease may be objectively related to events that occurred after the impairment loss
was recognized (for example, the debtor's credit rating improved), the reversal of the loss is
recognized in the period results. The fair value of trade and other receivables approximates the
carrying amount.
The commercial and other receivables of both the company and the Group, except for those
for which a provision has been made, are all considered receivable.
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4.5.2.11 Cash and Cash Equivalents
Cash and cash equivalents consist of cash and short-term deposits with an initial maturity of less
than three (3) months
4.5.2.12 Statuory Reserves
Legal Reserve: the company is obliged, according to the applicable commercial law, to form
a legal reserve of 5% of their annual net profits up to 1/3 of the paid-up share capital.. This
reserve cannot be distributed during the operational life of the company but can be used to
cover losses following appropriate decisions of the Shareholders’ General Meeting.
Tax exempted reserves. These reserves are formed when there are:
Tax exempted Earnings, in accordance with the applicable tax framework in Greece. In case
of distribution of these gains, these will be taxable at the corporate tax rate in force at the time
of distribution to shareholders or converted to equity after the Annual General Meeting of
shareholders, taking into account the restrictions that may apply every time
Partially taxed earnings are taxed at a lower tax rate than the then current rate in Greece. In
case of distribution of the gains will be taxable at the corporate tax rate in force at the time of
distribution to shareholders or converted to equity after the Annual General Meeting of
shareholders taking into account the constraints that may apply each time
4.5.2.13 Share Capital
The company's shares were listed on the parallel market of the Athens Stock Exchange on 9-29-
2000 and are of common nominal value. The share capital of the company, after its reduction,
by the decision of the Ordinary General Meeting of shareholders from 13-6-2017, amounts to six
million nine hundred and seventy-three thousand and fifty-two Euros and forty cents
(€6,973,052.40) and is divided into six million four hundred fifty-six thousand five hundred and
thirty (6,456,530) common registered voting shares with a nominal value of 1.08 Euro each, fully
paid.
Upon the acquisition of treasury shares, the amount paid, including related expenses, is
deducted from equity in a separate "Equity Reserve". The Own Shares do not incorporate voting
rights. The Own Shares of the Group's subsidiaries (which do not relate to shares of the parent
company) are treated in the Group as available-for-sale assets.
4.5.2.14 Earnings per Share
The basic earnings per share are calculated by dividing the net earnings attributed to the
shareholders of the parent company by the weighted average number of shares. Impairment
earnings per share are calculated by dividing the net return attributable to the shareholders of
the parent company by the weighted average number of shares outstanding during the year,
adjusted for the effect of the stock option
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4.5.2.15 Dividend distribution
Dividends distributed to shareholders are recognized as a liability at the time they are approved
for distribution by the General Meeting of Shareholders.
4.5.2.16 Revenue and Expense Recognition
Revenue: The Group and the Company recognize revenue, excluding interest income,
dividends and any other source of financial instruments (recognized under IFRS 9), to the extent
that they reflect the price to which the Company is entitled. from the transfer of goods and
services based on a five-step approach:
❑ Recognition of contracts with customers
❑ Recognition of the terms of execution of the contracts
❑ Determining the price of the transaction
❑ Divide the price of the transaction according to the terms of execution of the contracts
❑ Recognition of revenue when the Company fulfils the terms of execution of the
contracts
Revenue includes sales of goods and services, net of Value Added Tax, discounts and rebates.
Revenue is recognized when there is a possibility (highly probable) of financial benefits flowing
into the Group and can be measured reliably. Revenues from technical projects are recognized
in the results of the period, depending on the stage of completion of the contractual activity
at the date of preparation of the financial statements (input method). Therefore, the cost of the
projects that has been executed, but has not been invoiced accordingly to the customer, is
recorded in the income statement period together with the corresponding contractual income.
Any variable price is included in the contract price only to the extent that it is highly probable
that this revenue will not be reversed in the future and is calculated using either the 'expected
value' method or the 'most probable amount' method. ». In the process of assessing the
possibility of recovering the variable price, the previous experience adapted to the conditions
of the existing contracts is taken into account. Additional claims and additional work are
recognized if the recovery negotiations are at an advanced stage of negotiation or are
supported by independent professional assessments. Costs such as, costs of bidding,
construction of temporary construction sites, relocation of equipment and workers, etc. that
arise after the undertaking of a project, according to the new standard can be capitalized.
For the calculation of the costs incurred until the end of the year, any costs related to future
work related to the contract are excluded and appear as an ongoing project. The total cost
incurred and the profit / loss recognized for each contract are compared with the progressive
pricing until the end of the year. Where the costs incurred in addition to the recognized net
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profit (less losses) outweigh the progressive pricing, the difference arises as a receivable from
'Contract assets' in the 'Customer receivables' item in Current Assets. When progressive pricing
exceeds the costs incurred in addition to the net profit (less losses) recognized, the balance is
presented as a "Contractual Liabilities" liability in the "Suppliers and Other liabilities" item.
Interest income: Interest income is recognized in profit or loss on a pro rata basis, based on time
and the use of the effective interest rate.
Dividend income: Dividend income is recognized when the right to receive payment is
established.
Expenses: Expenses are recognized in profit or loss on an accrual basis. Payments made under
operating leases are transferred to the Income Statement as an expense at the time of the
lease.
Intercompany income/expenses within the Group are completely eliminated.
4.5.2.17 Research & Development Expenses Grants
Continuous progress is an integral part of the Group's role as the market is characterized by
rapidly changing developments in the field of technologies. Many software products are based
on proprietary technologies. The Group invests significant resources in the R&D sector for the
development of innovative products in order to be able to meet the requirements of its
customers, but also to be able to compete effectively in the markets.
4.5.2.18 Grants
Government grants are recognized at their fair value when it is expected with certainty that the
grant will be received and the Group will comply with all the terms provided.
Government grants related to expenses are deferred and recognized in the results so that they
correspond to the expenses intended to reimburse.
4.5.2.19 Financial products - Fair value
The Group and the Company use the following hierarchy to determine and disclose the fair
value of financial instruments per valuation technique:
Level 1: Negotiable (non-adjusted) prices in active markets for similar assets or liabilities. The
fair value of financial assets traded in active money markets is determined based on the
published prices valid at the balance sheet date. An "active" money market exists when
prices are readily available and regularly reviewed, published by a stock exchange,
stockbroker, industry, rating agency or regulator, representing real and frequently repeated
trades under normal trading conditions.
Level 2: Other techniques for which all inputs that have a significant effect on the recorded
fair value are observable, either directly or indirectly. The fair value of financial assets that are
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not traded in active money markets (e.g. derivatives contracts outside the derivatives market)
is determined using valuation techniques, which rely largely on available information for
transactions that are performed in active markets while using as few estimates of the entity as
possible.
Level 3: Techniques that use inputs that have a significant effect on the recorded fair value
and are not based on observable market data.
Techniques used to measure financial assets include:
❑ Purchase prices or negotiator prices for similar items.
❑ The fair value of hedging transactions is defined as the present value of future cash flows
(based on available performance curves).
During the period, there were no transfers between levels 1 and 2 nor transfers in and out of
level 3 for fair value measurement. The amounts appearing in the Financial Statements for cash,
trade and other receivables, trade and other short-term liabilities, as well as Bank short-term
liabilities, approximate their respective fair values due to their short-term maturity.
The valuation method was determined taking into account all the factors in order to
accurately determine the fair value and is measured at Level 3 of the hierarchy to determine
the fair value.
There were no changes in the valuation techniques used by the Group during the period.
4.5.2.20 Provisions
Provisions are recognized in accordance with the requirements of IAS 37, when the Group can
form a reliable estimate of a reasonable legal or contractual liability, which arises as a result of
prior events and there is a possibility that an outflow of resources may be required to settle that
liability. . The Group creates a provision for onerous contracts when the expected benefit that
will result from these contracts, is less than the unavoidable costs of compliance with the
contractual obligations. Restructuring provisions include penalties for early termination of leases
and payment of compensation for employees due to retirement and are recorded in the
period created for the Group legal or contractual obligation to settle the payment. Expenses
related to the usual activities of the Group are not recorded as provisions. The long-term
provisions of a particular liability are determined by discounting the expected future cash flows
relating to the liability, taking into account the relevant risks.
4.5.2.21 Loans
Borrowing costs are recognized as an expense in the period in which they are incurred in
accordance with IAS 23 “Borrowing Costs”. Loans are initially recognized at cost, which is the
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245
fair value of the loan received, less borrowing costs associated with the issue. After initial
recognition, they are valued at amortized cost using the effective interest method.
4.5.2.22 Benefits for Staff
Current benefits: Current benefits to employees (excluding termination benefits) in cash and in-
kind are recognized as an expense in the year in which they are paid. In case of an outstanding
amount, at the date of preparation of the financial statements, this amount is recorded as a
liability, while in case the amount paid exceeds the amount of benefits, the Group recognizes
the excess amount as an asset (prepaid expense) only to the extent that the prepayment will
lead to a reduction in future payments or a refund.
Post-employment benefits: Post-employment benefits include both defined contribution plans
and defined benefit plans.
Defined contributions program: Based on the defined contributions program, the Group's
obligation (legal) is limited to the amount determined to contribute to the body (insurance
fund) that manages the contributions and provides the benefits (pensions, medical care, etc.).
The accrued cost of defined contribution plans is recognized as an expense in the period in
question.
Defined benefit plan: The defined benefit plan of the Group concerns its legal obligation to pay
the staff a lump sum compensation on the date of departure of each employee from the
service. The liability recorded in the balance sheet is calculated based on the expected
accrued right of each employee, discounted at its present value, in relation to the time when
this benefit is expected to be paid. The commitment of the defined benefit is calculated
annually by an independent actuary using the projected unit credit method. The interest rate
on long-term Greek government bonds is used to discount it.
4.5.2.23 Leases
At the entry into force of a contract, the Group assesses whether the contract constitutes or
contains a lease. A contract is, or contains, a lease if the contract transfers control over the use
of an identifiable asset for a specified period of time in return for consideration
Lease accounting by the lessee
The Group applies a single recognition and measurement approach for most leases, except for
short-term (leases less than one year) as well as leases whose underlying asset is of low value
(under approximately € 4,500). The Group recognizes lease liabilities for lease payments and
usufruct assets that represent the right to use the underlying assets.
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❑ Assets with right of use
The Group and the Company recognize the assets with the right of use at the date of the
beginning of the lease period (i.e. the date when the underlying asset is available for use).
Eligible assets are measured at cost less any accumulated depreciation and impairment losses
and are adjusted based on any recalculation of the lease liability. The cost of eligible assets
consists of the amount of the lease liability recognized, the initial direct costs and any rents paid
at the commencement date of the lease term or earlier, less any lease incentives received.
Eligible assets are depreciated on a straight-line basis over the shortest period of time between
the term of the lease and its useful life. If the ownership of the leased asset is transferred to the
Group or the Company at the end of the lease term or if its cost reflects the exercise of the right
to purchase, the depreciation is calculated according to the estimated useful life of the asset.
The Group and the Company have contracts for means of transport as well as other equipment
used in their activities. Assets with the right to use are subject to impairment testing as described
in note 4.5.2.6 Impairment of Assets.
❑ Liabilities from leases
At the effective date of the lease, the Group and the Company measure the lease liability at
the present value of the leases to be paid during the lease. Leases consist of fixed rents
(including substantially fixed rents) less any lease incentives receivable, floating rates that
depend on an index or interest rate, and amounts expected to be paid under residual value
guarantees. Leases also include the exercise price of the lease if it is probable that the Group
or Company will exercise that right and the payment of a lease termination clause if the term
of the lease reflects the exercise of a right of termination. Floating rents that do not depend on
an index or interest rate are recognized as an expense in the period in which the event or the
activation of those payments occurred. For the discounting of rents, the Group and the
Company use the Increase rate as the imputed lease rate cannot be easily determined. After
the date of commencement of the lease, the amount of the lease liability increases on the
basis of interest on the lease and decreases with the payment of the lease. In addition, the
carrying amount of the lease liability is revalued if there are revaluations or modifications to the
lease.
❑ Lease accounting by the lessor
Leases in which the lessor does not transfer substantially all the financial benefits and risks arising
from the ownership of the leased asset are classified as operating leases. When assets are
leased under operating leases, the asset is included in the statement of financial position based
on the nature of the asset. Rental income from operating leases is recognized under the terms
of the lease using the straight-line method. A lease that transfers substantially all the financial
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benefits and risks arising from the ownership of the leased asset is classified as a finance lease.
Leased assets are derecognised, and the lessor recognizes a receivable equal to the net
investment in the lease. The lease receivable is discounted using the effective interest method,
and the carrying amount is adjusted accordingly. Rents receivable increase based on interest
on the receivable and decrease with the collection of rents.
4.5.2.24 Suppliers
Trade liabilities are liabilities payable for goods or services acquired in the ordinary course of
business by suppliers. Accounts payable are classified as current liabilities if the payment is due
within one year or less or long-term liabilities if the payment is due for more than one year.
Liabilities to suppliers are initially recognized at fair value and subsequently measured at
amortized cost using the effective interest method..
4.5.2.25 Income Tax & Deferred Taxation
Income tax consists of current taxes, deferred taxes, i.e., tax charges or deductions related to
the financial benefits accruing in the period but already charged or to be charged by the tax
authorities at different times, and provisions for additional taxes that may arise under the tax
authorities control.
Income tax is recognized in the statement of comprehensive income for the period, both that
relating to transactions recorded directly in equity and that relating to the period's results. The
current income tax refers to the tax on the taxable profits of the companies included in the
consolidation, as amended in accordance with the requirements of the tax laws, and was
calculated based on the applicable tax rates of the countries in which the group companies
operate.
Deferred income tax is calculated using the liability method in all temporary differences at the
balance sheet date between the tax base and the carrying amount of the assets and liabilities.
Expected tax effects from temporary tax differences are identified and presented as either
deferred tax liabilities or deferred receivables. Deferred tax is determined based on the tax rates
applicable at the balance sheet date. Deferred tax assets are recognized in respect of all
taxable deductibles and transferable tax losses to the extent that it is probable that future
taxable profits will be available against which the deductible taxable amount can be utilized.
The carrying amount of deferred tax assets is reviewed at each balance sheet date and
decreases to the extent that it is probable that there will be taxable profits against which part
or all of the deferred tax assets are used.
4.5.2.26 Foreign Currency Transactions
Amounts of the financial statements of the companies of the Group are measured based on
the currency of the primary economic environment in which the Group operates (operating
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248
currency). The consolidated financial statements are presented in Euro, which is the operating
currency and the presentation currency of the parent Company and all its subsidiaries. Gains
and exchange differences arising on the settlement of such transactions during the period and
on the conversion of foreign currency denominated currency at the exchange rates ruling at
the date of the financial statements are recognized in the Income Statement.
Foreign exchange differences arising on the conversion of financial statements of foreign
holdings are recognized in equity reserve through the statement of comprehensive income
4.5.2.27 Financial Instruments
Financial instruments valued at fair value
Financial assets and liabilities in the balance sheet include cash, securities, other receivables,
equity, short-term and long-term liabilities.
Financial instruments are presented as receivables, liabilities or equity items, based on the
substance and content of the relevant contracts from which they arise. Interest, dividends,
gains or losses arising from financial products that are classified as receivables or liabilities are
accounted for as income or expense respectively.
The Group considers that the values at which financial assets and financial liabilities are
recognized in the financial statements do not differ materially from fair values.
4.5.2.28 Financial Risk Management
The Group and the Company, in the context of normal business activities, are exposed to a
series of financial and business risks and uncertainties linked both to the general economic
situation and to the more specific conditions emerging in the industry.
The constant targeting of the Company and the Group to improve specialized know-how, the
continuous investment in well-qualified human resources and the constantly improved
infrastructures combined with the development of new products help the Group to be
competitive and approach new markets, limiting risks.
In addition, the significant amount of uncompleted projects, the commitment to adapting the
group's structures to the new business environment and the continuous evaluation of business
opportunities with a view to creating goodwill give us the right to believe that we will meet the
needs of the critical year ahead.
The Group is exposed to the following:
❑ Financial Risk Factors
The Group is exposed to various financial risks, including unpredictable fluctuations in exchange
rates and interest rates, market risks, credit risks and liquidity risks. The overall risk management
SPACE HELLAS S.A.
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249
program of the Group seeks to minimize the possible adverse effects of these fluctuations on
the financial performance of the Group.
Risk management policy is applied by the Group's management through the assessment of the
risks associated with the Group’s activities and functions, and the design of the methodology is
carried out by selecting the appropriate financial products in order to achieve risk reduction.
The financial instruments used by the Group consist mainly of bank deposits, transactions in
foreign currency at current prices or short-term currency futures, bank overdrafts, accounts
receivable and payables.
❑ Foreign Exchange Risk
The Group's exposure to currency risks comes mainly from existing or expected cash flows in
foreign currency (imports - exports). The management of the Group constantly monitors the
fluctuations and the trend of foreign currencies and evaluates each case separately, taking
the necessary measures where necessary through agreements to cover exchange risks.
The situation shaped today by both the war in Ukraine and the energy crisis, as well as the rising
trend of interest rates worldwide, inevitably also affects exchange rates. The management of
the exchange risk requires complex policies that link the exchange risk coverage tools (currency
options) with the commercial and cost strategy of the Group. The rapid changes oblige us to
closely monitor offers and contracts that include currency risks, reform them where possible and
cover the currency risk using futures contracts.
The main trading currencies of the Group are the Euro and USD.
In the table below, there is a sensitivity analysis of the earnings before taxes due to currency
exchange rate changes:
Currency
31.12.2023
31.12.2022
USD
Exchange rate
variation
Effect on profit before
tax
Exchange rate
variation
Effect on profit before
tax
7% -900 7% -700
-7% 900 -7% 700
❑ Price Risk
The Group does not own any negotiable securities and, therefore, is not exposed to the risk of
changes in the stock market prices of securities.
The Group is mainly exposed to changes in the value of the goods it supplies, and therefore, its
inventory policy and commercial policy are adjusted accordingly. To deal with the risk of the
obsolescence of its stocks, the Group implements rational management and administration of
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250
them, in combination with the projects and sales they concern. The nature of the market in
which we operate (medium and large market) gives us the right to manage stocks by project
and type of sales.
The complexity of the projects, which requires the composition of more than one product to
complete the delivery phases, requires that the management of the orders is done with the
main idea of the delivery time of the goods and not the minimization of the holding time in the
warehouses, considering the completion of the projects in conventional times primary
objective. For the same reason, the Group invests significantly in the field of Project
Management by empowering the teams with specialized human resources and also by using
modern project management tools with the aim of smoothing out the problems that arise as
much as possible. The careful management of projects in terms of continuous control of costs
and schedules is imperative.
❑ Interest Rate Risk
The Group's operating profits and cash flows are partially affected by changes in interest rates.
The Group's policy is to constantly monitor interest rate trends as well as the duration of financing
needs. Therefore, decisions on the duration, as well as the relationship between fixed and
variable costs of a new loan, are made individually for each case and at each point in time.
Therefore, the majority of loans have been concluded with variable interest rates.
The period we are going through is characterized by trends of high interest rate fluctuations,
which will inevitably affect both the financial cost of project management and the cost of
investments. As the majority of loans have been contracted with floating interest rates, the
group intervenes using interest rate risk management tools (interest rate swaps) for part of the
loans contracted. An important factor taken into account is the Euribor interest rate curve,
which is subject to continuous observation and leads to decisions to cover interest rate risks as
much as possible.
Sensitivity analysis of Group’s borrowings due to interest rate changes:
Currency
31.12.2023
31.12.2022
euro Interest rate variation
Effect on profit
before tax
Interest rate
variation
Effect on profit before
tax
250 -250 250 -1.100
-200 250 -200 1.100
❑ Credit Risk
Credit risk arises from cash and cash equivalents, bank deposits, derivative financial instruments,
and credit risk exposures from customers.
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251
Trade receivables come mainly from large organizations in the private and public sector. The
financial position of the customers is closely monitored and redefined according to the new
conditions. The Group evaluates the creditworthiness of each customer, either through an
independent rating body or internally taking into account its financial position, previous
transactions and other parameters, monitoring the amount of credit provided. Customer credit
limits are set based on internal or external ratings in accordance with limits set by the
Management.
The current situation, which is made up of both geopolitical instability and the fight against
inflation, leads to an increase in production costs with a simultaneous increase in financial
expenses. The structure of the Group's clientele, which consists of medium-sized and large
private-sector clients, as well as large public-sector clients involved in the digitization of the
country, reduces the above risk.
For special credit risks, provisions are made for losses, taking into account the data that arise on
a case-by-case basis. The rescheduling of collections is a matter to be managed but is not
linked to the creditworthiness of our debtors.
To minimize the credit risk on cash and cash equivalents, the Group under policies approved
by the Board of Directors sets limits on the amount to be exposed. Also with regard to money
market instruments, the Group only does business with recognized financial rating institutions.
❑ Liquidity Risk
Liquidity risk is addressed both by the steady flow of receipts and by securing sufficient cash
from bank financing (focusing on on-the-project basis funding), which is based on the excellent
relationship the company has with the largest credit institutions in the country and provides
sufficient credit lines to finance our business plans.
Medium-long-term strategic plans are financed by long-term funds with particular attention to
the costs that follow them and the timing of their repayment.
In addition, excellent relationships with our suppliers, which are based on long-lasting, reliable
and stable relationship, provide us with significant help in trying to smooth cash flow.
The table below summarizes the maturity profile of financial liabilities for 31.12.2023 and
31.12.2022, respectively.
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Annual Report 2023
Group
Total
Less than 1 Year
1 to 5 years
>5years
Amounts in € thousand
31.12.2023 31.12.2022 31.12.2023 31.12.2022 31.12.2023 31.12.2022 31.12.2023 31.12.2022
Borrowings 72.761 70.602 41.670 22.683 24.591 41.419 6.500 6.500
Leases 3.503 2.699 1.028 1.253 2.475 1.446 0 0
Trade and Other liabilities 64.430 66.420 64.430 66.420 - - 0 0
Company
Amounts in € thousand
Total
Less than 1 Year
1 to 5 years
>5years
31.12.2023 31.12.2022 31.12.2023 31.12.2022 31.12.2023 31.12.2022 31.12.2023 31.12.2022
Borrowings 65.610 66.523 38.049 20.263 21.061 39.760 6.500 6.500
Leases 3.079 1.835 857 661 2.222 1.174 0 0
Trade and Other liabilities 55.716 57.966 55.716 57.966 0 0 0 0
❑ Capital Management
The primary objective of the Group's capital management is to ensure the maintenance of its
high credit rating and healthy capital ratios so that the Group's activities can be supported and
expanded.
The leverage ratio is calculated by dividing net borrowing by total capital employed.
Group
Company
Amounts in € thousand
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Short term Borrowings 41.670 22.683 38.049 20.263
Long term Borrowings 31.091 47.919 27.561 46.260
Less: cash and cash equivalents -25.088 -29.185 -19.790 -27.329
Net Debt 47.673 41.417 45.820 39.194
Equity 28.183 30.632 25.605 23.315
Total capital employed 75.856 72.049 71.425 62.509
Gearing ratio 62,85% 57,48% 64,15% 62,70%
The participation of the company and the Group in the important digitization projects carried
out in the country increases the operational profitability and is expected to create in the
medium-long term an important source of fixed service contracts.
At the same time, the financing of the aforementioned projects, which exceeds the horizon of
one financial year in combination with the continuous increase in turnover and the
implementation of the medium-long-term investment plan, affects the leverage factor through
the increase in net debt.
252
SPACE HELLAS S.A.
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253
❑ Risk factors related to Project Planning and Execution
SPACE HELLAS, through its business activities, is exposed to potential risk factors related to the
undertaking and completion of project execution, such as cost and schedule overruns,
incomplete understanding of the complexity of key factors necessary for the successful
completion of the project, the non-thorough evaluation of the contractual terms and
conditions of the project, the lack of monitoring of the progress of the project, as well as the
ineffective management of non-compliance with contractual commitments by third parties
(withdrawal from the project).
❑ Proper execution and delivery of projects is a key priority for SPACE HELLAS, which is
achieved through a structured project planning and monitoring process as well as through
long-term, strong business relationships with key stakeholders. The Integration Services
Division is staffed with well-qualified human resources. Planning, monitoring and reporting
on the progress of projects is achieved through established project management
procedures at regular intervals, which are reviewed and updated whenever deemed
necessary. SPACE HELLAS clearly defines the roles, responsibilities, milestones and
corresponding tasks before they start, ensuring the optimal composition of the teams that
will execute the project and the timely planning of the activities. The stages of preliminary
control and planning of each project include risk identification and assessment actions. In
addition, SPACE HELLAS carries out thorough evaluations of its suppliers, subcontractors and
external partners before entering into any business agreement and throughout the
execution of the projects. In addition, the project teams, in full cooperation with the
Integration Services Division, conduct a debriefing at the end of each project in order to
gain an overview of the overall execution and results, with the aim of drawing conclusions
that will improve performance in future projects.
❑ Risk factors related to Human Resources
Human Resources Risk involves the potential difficulty in attracting, hiring and retaining human
resources, which is primarily due to the lack of talent in the market or the potential inability to
create a positive work environment due to a lack of effective communication with employees
or ensuring the continuity of critical operations due to inadequate placement planning.
SPACE HELLAS Group considers its people a necessary element for its smooth operation, and its
priority is to attract, recruit and retain specialized personnel. This is achieved by ensuring a
desirable working environment and an effective industrial relations framework that enables the
development of its employees.
Defined human resources policies and procedures, identification of critical positions within the
organization and development the corresponding succession plans, and recruitment practices
that ensure the selection of suitable and competent executives with merit and equal treatment,
SPACE HELLAS S.A.
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254
the continuous training and development of employees aimed at empowering personal and
technical skills and abilities, providing incentives, both at the level of remuneration and benefits
as well as at the level of development and growth opportunities, with the aim of increasing the
commitment and retention of employees as well as the integration, into the daily operations, of
the principles of diversity, equality and equal opportunities, are factors that help in this direction.
❑ Risk from effects of climate change.
Climate change has made the occurrence of unpredictable situations more frequent with
unpredictable consequences. Due to their nature, such phenomena affect those parts of the
economy that, on the one hand, are related to weather phenomena, such as the primary
sector, but also to the direct effects of floods and fires that could affect tourism businesses. The
Group and the Company currently have zero exposure to both the primary sector and tourism
businesses.
❑ Risk of COVID-19 spread
The health crisis of COVID-19 had led the global economy into a period of uncertainty and
instability. The uncertainty that has prevailed worldwide for two years since the outbreak of the
pandemic has subsided, and trading activity has returned to normal to a large extent. The
Space Hellas Group estimates that, in the context of its obligation to publish information (market
disclosure), there is no significant impact on its fundamental figures and financial situation at
the present stage.
❑ Risk regarding geopolitics and the energy crisis.
The indicator of the economic climate, both at the global and European level, shows signs of
recession, as the geopolitical crisis in Ukraine continues and the crisis in the Middle East was
added, which suspended or delayed the effort to de-escalate inflation and consequently
reduce costs money through lower interest rates.
The beginning of 2022 was affected by Russia's invasion of Ukraine, which marked the beginning
of a war that is still ongoing. At a time when Europe, as well as the whole world, was recovering
from the shock of the pandemic before it could return to "normality", it was faced with a new,
unprecedented condition that strengthened economic and social instability.
At the beginning of 2024, we have another extreme escalation, in the sense of the blockade
by Iran (with the cooperation of the Houthis of Yemen) of the Straits of Hormuz and, recently,
the crisis in the Middle East. In the event that the above rekindle a new energy crisis (escalation
of oil and natural gas prices and an upward trajectory of Europe's inflation), conditions of
economic instability will be created again.
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255
On the other hand, in 2023, the Greek economy showed particular resilience despite the
unfavourable external environment, both in terms of strengthening economic activity and
creating new jobs. As for the year 2024, the forecast for the average annual growth rate of the
Greek economy amounts to 2.2%, an estimate according to which the Greek economy is
expected to remain on an upward trajectory, maintaining a satisfactory rate of GDP growth.
The historically high performance of tourism, the increase in private consumption, the
acceleration of capital spending related to the Recovery Fund and the investments postponed
from 2023, including reconstruction projects in Central Greece, are expected to provide a
significant boost to GDP in 2024.
The 4th payment request, amounting to €2,3 billion, was recently submitted for the loan
component of the Recovery and Resilience Fund (RESF).
As stated in an announcement by the Ministry of National Economy and Finance, the specific
request was submitted after TAA's goal of contracting loans, amounting to 4,52 billion euros,
was achieved earlier than expected.
The Group has zero exposure to the markets of Ukraine and Russia as they are not part of its
supply chain, nor do they contribute to the turnover. Thus, no negative effects are expected
due to the economic sanctions of the EU and the countermeasures of the Russian Federation
against the member countries of the EU. Regarding the Middle East, our subsidiary in Jordan
Space Arab Levant Technologies operates in the field of remote access and management of
telecommunication provision services and is not affected by any negative developments.
The Group's Management, realizing the above challenges in time and taking appropriate and
targeted measures per risk area, as has been thoroughly analyzed above, manages to keep
the Group's activity unaffected and, at the same time, record historically high performances.
❑ Other operational risk
The company's Management has installed a reliable internal control system to detect
malfunctions and exceptions in the context of its commercial operations. The insurance
coverage of property and other risks is considered sufficient. The Group and the Company will
not face significant risks in the short-term and generally the time horizon. The specialized know-
how of the company and the group, the continuous investment in well-qualified human
resources and strong infrastructures combined with the development of new products help and
support the Group so that it is constantly competitive and penetrates new markets, limiting its
risks competitive horizon.
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256
4.6 NOTES TO THE ANNUAL FINANCIAL STATEMENTS OF YEAR 2023
4.6.1 OPERATING SEGMENTS
Business segment is a distinct part of the Company and the Group which provides products and
services subject to different grades of risk and performance that is different from those of other
business segments.
Geographical segments provide products or services within a particular economic environment
that is subject to risks and performances that are different from those of components operating
in other economic environments.
The Group and the company’s segments are based on the products and services provided.
❑ Primary segment – Business segments
The Group organizes its activities in three segments:
o Technology providers of solutions and services to the business environment. (Value
Added Solutions)
o IT projects (integration)
o Resellers’ network for mobile telecommunications.
The segment consolidated results for the current and preview periods are as follows:
Group
Technology Solutions and
Services
Integration projects
Mobile
telecommunications
Total
Amounts in € thousand
2023 2022 +/-% 2023 2022 +/-% 2023 2022 +/-% 2023 2022 +/-%
Revenue
76.806 62.877
22,15%
69.800 56.500
23,54%
1.472 1.286
14,46%
148.078 120.663
22,72%
Gross profit
14.850 11.534
28,75%
15.473 9.750
58,70%
550 399
37,84%
30.873 21.683
42,38%
EBIT
8.285 6.246
32,64%
8.900 4.050
119,75%
295 216
36,57%
17.480 10.512
66,29%
Earnings before taxes - -
-
- -
-
- -
-
7.413 5.442
36,22%
Earnings before taxes - -
-
- -
-
- -
-
4.804 5.020
-4,30%
❑ Secondary segment – Geographical segment
The Group’s main geographical space is Greece, where the parent company’s registered
office is located.
The subsidiary company «SPACE HELLAS CYPRUS LTD», has its registered offices in Cyprus and is
a parent of subsidiaries
SPACE HELLAS S.A.
Annual Report 2023
SPACE HELLAS HELLAS Doo Beograd-Stari Grad based in Serbia,
SPACE HELLAS (MALTA) LTD based in Malta,
SPACE AAB LEVANT TECHNOLOGIES COMPANY, headquartered in Jordan
with growing activities, though not significant in relation to the totality of the Group.
The subsidiary company «SINGULARLOGIC S.A.» has its registered offices in Greece and is a
parent of subsidiaries
❑ GREEK INFORMATION TECHNOLOGY HOLDINGS S.A «G.I.T. HOLDINGS S.S..»
headquartered in Greece.
❑ GREEK INFORMATION TECHNOLOGY(CYPRUS) LIMITED headquartered in Cyprus.
❑ SINGULARLOGIC CYPRUS LIMITED headquartered in Cyprus.
The above companies based abroad have developing activities but not significant in relation
to the integrity of the Group.
4.6.2 OTHER OPERATING INCOME
Group
Company
Amounts in € thousand
01.01 -
31.12.2023
01.01 -
31.12.2022
01.01 -
31.12.2023
01.01 -
31.12.2022
Service provision 452 4 3 4
Income from property leases 41 65 27 53
Government Grants 4.325 3.549 3.389 2.283
Other extraordinary income 682 2.537 24 27
Other extraordinary gains 10 22 6 10
Currency exchange gains 796 1.272 794 1.244
Unused provisions 1.522 30 0 0
Prior year's incom 31 282 3 19
Total other operating income 7.859 7.761 4.246 3.640
4.6.3 OPERATING EXPENSES
Administration expenses
Group
Company
Amounts in € thousand
01.01-
31.12.2023
01.01-
31.12.2022
+/-%
01.01-
31.12.2023
01.01-
31.12.2022
+/-%
Payroll expenses
6.758 5.447 24,07% 4.489 4.191 7,11%
Third parties’ fees and expenses
1.293 1.405 -7,97% 841 897 -6,24%
Third parties’ utilities and serv ices
1.280 1.356 -5,60% 1.001 1.011 -0,99%
Taxes and dues
190 199 -4,52% 147 125 17,60%
Sundry expenses
1.057 800 32,13% 869 683 27,23%
Depreciations
531 335 58,51% 290 195 48,72%
Prov isions 209 115 81,74% 193 115 67,83%
Total admin. expenses
11.318 9.657 17,20% 7.830 7.217 8,49%
257
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Annual Report 2023
Research & Development expenses:
Group
Company
Amounts in € thousand
01.01-
31.12.2023
01.01-
31.12.2022
+/-%
01.01-
31.12.2023
01.01-
31.12.2022
+/-%
Payroll ex penses 912 850 7,29% 912 850 7,29%
Third parties’ fees and ex penses 295 315 -6,35% 295 315 -6,35%
Third parties’ utilities and serv ices 9 9 0,00% 9 9 0,00%
Tax es and dues 4 4 0,00% 4 4 0,00%
Sundry ex penses 32 25 28,00% 32 25 28,00%
Depreciations 942 634 48,58% 942 634 48,58%
Total Selling expenses 2.194 1.837 19,43% 2.194 1.837 19,43%
Selling expenses:
Group
Company
Amounts in € thousand
01.01-
31.12.2023
01.01-
31.12.2022
+/-%
01.01-
31.12.2023
01.01-
31.12.2022
+/-%
Payroll ex penses 6.858 6.579 4,24% 5.199 4.855 7,09%
Third part ies’ fees and ex penses 1.173 1.469 -20,15% 736 785 -6,24%
Third part ies’ utilities and serv ices 374 414 -9,66% 258 261 -1,15%
Tax es and dues 220 195 12,82% 216 183 18,03%
Sundry ex penses 874 702 24,50% 727 571 27,32%
Depreciations 1.226 666 84,08% 801 539 48,61%
Total Selling expenses 10.725 10.025 6,98% 7.937 7.194 10,33%
4.6.3.1 Assurance service fees
For the year ended December 31, 2023, the group's Operating expenses include fees for
services related to the regular audit of financial statements 91 thousand €, for the tax
compliance report 23 thousand € and fees for other assurance services other services 35
thousand €, while for the company the fees related to the regular audit amount to 23 thousand,
€ for the tax compliance report 12 thousand € and fees for other assurance services and other
services 21 thousand €.
For the year ended December 31, 2022, the group's Operating expenses include fees for
services related to the regular audit of financial statements 70 thousand €, for the tax
compliance report 21 thousand € and fees for other assurance services other services 20
thousand €, while for the company the fees related to the regular audit amount to 23 thousand
€, for the tax compliance report 12 thousand € and fees for other assurance services and other
services 6 thousand €.
01.01-
258
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Annual Report 2023
4.6.4 OTHER OPERATING EXPENSES
Group
Company
amounts in € thousand
01.01 -
31.12.2023
01.01-
31.12.2022
01.01 -
31.12.2023
01.01-
31.12.2022
Extraordinary expenses 179 216 132 109
Loss from currency exchange 1.257 488 1.247 483
Provisions for receivables of doubtful collection 1.661 0 5 0
Other provisions 0 61 0 61
Extraordinary losses 29 59 29 59
Prior year's expenses 88 73 46 29
Total other operating expenses 3.214 897 1.459 741
4.6.5 FINANCIAL RESULTS
Group
Company
amounts in € thousand
01.01-
31.12.2023
01.01-31.12.2022
01.01-
31.12.2023
01.01-
31.12.2022
Gain/Loss from affiliated companies 108 1.306 0 0
Gain/Loss from other investments 0 -561 0 -561
Loss from securites 4.695 0 3.218 0
Loss from business combination -304 0 0 0
Dividends 0 0 568 363
Total financial results 4.499 745 3.786 -198
During the current fiscal year, the group's investment results show an amount of €4.499
thousand. The amount of 108 thousand € concerns income from the equity method
consolidation of our relatives WEB IQ and AgroApps. The amount of 4.695 thousand € concerns
the sale of subsidiaries of SingularLogic and the sale of Epsilon SingularLogic S.A. associate entity
of SPACE HELLAS. The amount of -304 thousand € concerns a loss from the write-off due to the
liquidation of our sub-subsidiary SPACE SYSTEM INGRATOR SRL and from the participation of our
sub-subsidiary SINGULARLOGIC in a joint venture.
During the previous fiscal year, the group's investment results show an amount of €1.306
thousand, which concerns income from the equity method consolidation of our relatives WEB
IQ, AgroApps, Epsilon SingularLogic as well as from the sale of subsidiaries of SingularLogic.
Both in the current and in the previous fiscal year, profits from previous fiscal years were
distributed to the company as a dividend from its subsidiary SPACE HELLAS CYPRUS LTD.
259
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Annual Report 2023
4.6.6 INCOME TAX
Group
Company
Amounts in € thousand Note 01.01 - 31.12.2023 01.01-31.12.2022
01.01 -
31.12.2023
01.01-
31.12.2022
Current Income Tax -771 -46 -735 0
Additional tax 16 -251 16 -251
Deferred tax imputed to results 4.6.26 -1.763 -386 -716 -887
Total income tax charge to income statement (a) -2.518 -683 -1.435 -1.138
Deferred tax recognized directly in equity (b)
4.6.26 -2 -396 2 -418
Total tax (a+b) -2.520 -1.079 -1.433 -1.556
From the fiscal year 2016 onwards, the tax certificate of article 65A of N4174/2014 is granted by
the Statutory Auditor or audit office that audits the annual financial statements on an optional
basis.
For the Company, this audit until 2022 has been completed with the issuance of the relevant
Tax Compliance Reports without qualification.
For the fiscal year 2023, the tax audit of the Certified Public Accountants to obtain a Tax
Compliance Report is in progress. Upon completion of the tax audit, management does not
expect any significant tax liabilities to arise other than those recorded and reflected in the
financial statements.
The basic tax rate for Public Limited Companies in Greece for the current year is 22%.
Group
Company
Amounts in € thousand
01.01-
31.12.2023
01.01-
31.12.2022
01.01-
31.12.2023
01.01-
31.12.2022
Earnings before taxes 7.413 5.703 4.581 4.470
Tax calculated at the statutory tax rate -1.631 -1.104 -1.008 -983
Expenses not deductible for tax purposes -253 -227 -107 -151
Tax impact from tax exemptedincome -116 80 125 80
Deffered tax credit -249 883 -231 167
Effect of different tax rates in other countries -57 -110 0 0
Income tax adjutments -214 -205 -214 -251
Effect from tax rate changes 0 0 0 0
Total -2.520 -683 -1.435 -1.138
4.6.7 PROPERTY, PLANT AND EQUIPMENT
Land and buildings are disclosed in the fair value as result from their revaluation as of 30.06.2022
carried out by independent valuators (note 4.5.2.4)
The valuers applied the European and International Valuation Standards (EVS 2020, IVS 2020),
as defined by TEGova and IVSC (The European Group Of Valuers' Associations and International
260
SPACE HELLAS S.A.
Annual Report 2023
261
Valuation Standards Council, respectively) as well as the instructions and guidelines of the
Manual (Red Book) of the Royal Institution of Chartered Surveyors of Great Britain (Royal
Institution of Chartered Surveyors - RICS - Valuation Professional Standards 2020).
For the valuation of the Market Value of the property in question, the Market Value Method and
the Income Method were used, which are the most appropriate in accordance with the
International Valuation Standards (IVS) and the guidelines and directions of the Royal Institution
of Chartered Surveyors (R.I.C.S). The Market method is based on the assumption that an
informed buyer would not pay more for the purchase of an asset than the market value of a
similar asset for exactly the same use and purpose. The Income Method is based on "prediction"
and the "principle of supply and demand". It is used to value shops, hotels, shopping centers
and general commercial properties that generate income.
Then the 2 methods are weighted by applying appropriate weighting factors by the appraiser,
in order to obtain the Market Commercial Value (Fair Value) of the property under appraisal.
Factors Influencing Value. To determine the Commercial Value of the properties under
investigation, the appraisers took into account the following factors: the current state of the
immovable assets, as described below, the information provided by our company regarding
our appraised properties (titles, plans - floor plans - topographical diagrams, etc. - declarations
of compliance with relevant laws on settlement of wrongdoings N.4178/13, N.4495/2017, etc.),
the information received from various sources regarding the current sale prices of real estate as
well as the conditions of demand and supply that apply in each local real estate market.
Group
Amounts in € thousand
Land
Buildings and
buildings
installation
Plant and
machinery
Motor
Vehicles
Furniture’s &
Fittings
Total
Opening Balance 01.01.2022 7.264 7.246 11.474 535 9.727 36.246
Plus: Additions 0 14 1.289 0 1.403
2.706
Disposals from discontinued operations 0 0 0 0 132
132
Revaluations 2.559 -864 0 0 0
1.695
Disposas 0 0 60 0 329
389
Ending balance 31.12.2022 9.823 6.396 12.703 535 10.669 40.126
Depreciation at 01.01.2022 0 3.245 6.025 507 8.744 18.521
Plus: Additions 0 164 550 5 367
1.086
Disposals from discontinued operations 0 0 0 0 73
73
Revaluations 0 -249 - - -
-249
Disposas
0
0 55 0 315
370
Ending balance 31.12.2022 0 3.160 6.520 512 8.723 18.915
Net balance 31.12.2022 9.823 3.236 6.183 23 1.946 21.211
Opening Balance 01.01.2023 9.823 6.396 12.703 535 10.669 40.126
Plus: Additions 0 2 2.914 0 542
3.458
Disposals from discontinued operations 0 0 0 0 8
8
Disposas 0 2 8 5 88
103
Ending balance 31.12.2023 9.823 6.396 15.609 530 11.115 43.473
Depreciation at 01.01.2023 0 3.160 6.520 512 8.723 18.915
Plus: Additions 0 169 885 5 797
1.856
Disposals from discontinued operations 0 0 0 0 12
12
Disposas
0
2 4 2 83
91
Ending balance 31.12.2023 0 3.327 7.401 515 9.425 20.668
Net balance 31.12.2023 9.823 3.069 8.208 15 1.690 22.805
SPACE HELLAS S.A.
Annual Report 2023
Company
Amounts in € thousand
Land
Buildings and
buildings
installation
Plant and
machinery
Motor
Vehicles
Furniture’s &
Fittings
Total
Opening Balance 01.01.2022 7.264 4.413 11.309 55 3.327 26.368
Plus: Additions 0 5 1.313 0 314
1.632
Revaluation 2.559 -864 - - -
1.695
Minus: Disposals 0 0 7 0 0
7
Ending balance 31.12.2022 9.823 3.554 12.615 55 3.641 29.688
Depreciation at 31.12.2022 0 440 5.891 28 2.678 9.037
Plus: Additions 0 148 545 5 177
875
Revaluation - -249 - - -
-249
Minus: Disposals 0 0 2 0 0
2
Depreciation at 31.12.2022 0 339 6.434 33 2.855 9.661
Net balance 31.12.2022 9.823 3.215 6.181 22 786 20.027
Opening Balance 01.01.2023 9.823 3.554 12.615 55 3.641 29.688
Plus: Additions 0 2 2.914 0 406
3.322
Minus: Disposals 0 0 4 5 1
10
Ending balance 31.12.2023 9.823 3.556 15.525 50 4.046 33.000
Depreciation at 31.12.2023 0 339 6.434 33 2.855 9.661
Plus: Additions 0 148 887 5 215
1255
Minus: Disposals 0 0 0 2 0
2
Depreciation at 31.12.2023 0 487 7.321 36 3.070 10.914
Net balance 31.12.2023 9.823 3.069 8.204 14 976 22.086
4.6.8 INTANGIBLE ASSETS
Group and company intangibles include software programs purchased externally, other
intangible assets and proprietary software.
Investments in self-produced intangible assets are the costs of developing products as
integrated software to be made available within the framework of our Technology Solutions
and Services functional area.
The amount in the other intangible fixed assets concerns the acquisition value of the trademark,
but due to the impossibility of reliably measuring their commercial viability and their cash flow
in the immediate future, no amortization is made.
Below are the tables of intangible assets of the Group and the company:
262
SPACE HELLAS S.A.
Annual Report 2023
Group
Amounts in € thousand Software Other intangibles Total Intangibles
Opening Balance 01.01.2022 21.936 10.572 32.508
Plus: Additions/transfers 1.473 1.636
3.109
Minus: Disposals 76 384
460
Ending balance 31.12.2022 23.333 11.824 35.157
Depreciation at 01.01.2022 16.076 322 16.398
Plus: Additions/transfers 1.116 158
1.274
Minus: Disposals 56 0
56
Depreciation at 31.12.2022 17.136 480 17.616
Net balance 31.12.2022 6.197 11.344 17.541
Opening Balance 01.01.2023 23.333 11.824 35.157
Plus: Additions/transfers 4.286 1.360
5.646
Disposals due to discontinued operations 12 0
12
Minus: Disposals 25 0
25
Ending balance 31.12.2023 27.594 13.184 40.766
Depreciation at 01.01.2023 17.136 480 17.616
Plus: Additions/transfers 2.619 355
2.974
Disposals due to discontinued operations 3 0
3
Minus: Disposals 1 0
1
Depreciation at 31.12.2023 19.754 835 20.586
Net balance 31.12.2023 7.840 12.349 20.180
Company
Amounts in € thousand Softw are Other intangibles Total Intangibles
Opening Balance 01.01.2022 7.923 714 8.637
Plus: Additions/transfers 1.415 0 1.415
Minus: Disposals 0 384 384
Ending balance 31.12.2022 9.338 330 9.668
Depreciation at 01.01.2022 5.466 308 5.774
Plus: Additions 859 1 860
Minus: Disposals 0 0 0
Depreciation at 31.12.2022 6.325 309 6.634
Ending balance 31.12.2022 3.013 21 3.034
Opening Balance 01.01.2023 9.338 330 9.668
Plus: Additions/transfers 3.450 0 3.450
Minus: Disposals 19 0 19
Ending balance 31.12.2023 12.769 330 13.099
Depreciation at 01.01.2023 6.325 309 6.634
Plus: Additions 1.419 2 1.421
Minus: Disposals 1 0 1
Depreciation at 31.12.2023 7.743 311 8.054
Ending balance 31.12.2023 5.026 19 5.045
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Annual Report 2023
264
4.6.9 RIGHTS OF USE
Group
Amounts in € thousand Buldings
Transportation
vehicles
Total rights of use
Opening Balance 01.01.2022 2.455 2.551 5.006
Plus: Additions/t ransfers 421 1.354 1.775
Disposals due to discontinued operations 0 189 189
Minus: Disposals 1 576 577
Ending balance 31.12.2022 2.875 3.140 6.015
Depreciation at 01.01.2022 1.461 1.354 2.815
Plus: Additions/t ransfers 485 670 1.155
Disposals due to discontinued operations 0 38 38
Minus: Disposals 0 532 532
Ending balance 31.12.2022 1.946 1.454 3.400
Net value 31.12.2022 929 1.686 2.615
Opening Balance 01.01.2023 2.875 3.140 6.015
Plus: Additions/t ransfers 799 1.520 2.319
Disposals due to discontinued operations 0 86 86
Minus: Disposals 34 1.066 1.100
Ending balance 31.12.2023 3.640 3.508 7.148
Depreciation at 01.01.2023 1.946 1.454 3.400
Plus: Additions/t ransfers 548 877 1.425
Disposals due to discontinued operations 0 44 44
Minus: Disposals 4 1.052 1.056
Ending balance 31.12.2023 2.490 1.279 3.725
Net value 31.12.2023 1.150 2.229 3.423
Company
Amounts in € thousand Buldings Transportation vehicles Total rights of use
Opening Balance 01.01.2022 364 2.012 2.376
Plus: Additions/t ransfers 408 773 1.181
Minus: Disposals 0 532 532
Ending balance 31.12.2022 772 2.253 3.025
Depreciation at 01.01.2022 214 877 1.091
Plus: Depreciation ex pense 85 567 652
Minus: Depreciation of disposed elements 0 532 532
Depreciation at 31.12.2022 299 912 1.211
Ending balance 31.12.2022 473 1.341 1.814
Opening Balance 01.01.2023 772 2.253 3.025
Plus: Additions/t ransfers 771 1.329 2.100
Minus: Disposals 4 515 519
Ending balance 31.12.2023 1.539 3.067 4.606
Depreciation at 01.01.2023 299 912 1.211
Plus: Depreciation ex pense 165 706 871
Minus: Depreciation of disposed elements 4 494 498
Depreciation at 31.12.2023 460 1.124 1.584
Ending balance 31.12.2023 1.079 1.943 3.022
4.6.10 INVESTMENT PROPERTIES
During the current period, there were no assets that should be classified as investment property.
4.6.11 GOODWILL
The Goodwill, amounting to 2.621 thousand €, included in the noncurrent assets, resulted from
the following operations.
SPACE HELLAS S.A.
Annual Report 2023
Copmany- Group
Amounts in € thousand
SPACEPHONE S.A.
SPACE TECHNICAL
CONSTRUCTION
BUILDING SA
Total
Company
Goodwill
SingularLogic SA
SENSE ONE Single
Member S.A.
Total Group
Goodwill
Opening Balance 01.01.2022
428 169 597 1.494 699 2.790
Additions
0 0 0 0 0 0
Imapairments
0 169 169 0 0 169
Ending balance 31.12.2022
428 0 428 1.494 699 2.621
Opening Balance 01.01.2023
428 0 428 1.494 699 2.621
Additions
0 0 0 0 0 0
Imapairments
0 0 0 0 0 0
Ending balance 31.12.2023
428 0 428 1.494 699 2.621
Goodwill is subject to impairment testing when there is evidence of impairment and is measured
at cost less any accumulated impairment losses. At each balance sheet date, the Group
conducts an analysis to assess whether the carrying amount of goodwill is recoverable.
❑ the amount of € 428 thousand comes from the acquisition of the remaining 50% of the
29/6/2007 after the absorption of the subsidiary "SPACEPHONE SA".
❑ The company formed a provision for impairment for 100% of the amount of € 169
thousand derived from the acquisition of 100% of our 15/10/2012 subsidiary "SPACE
TECHNICAL CONSTRUCTION BUILDING SA".
❑ The amount of € 1.494 thousand comes from the acquisition of the remaining 10,03% of
"SINGULARLOGIC S.A." that took effect from 15/7/2021. With this purchase, the
percentage of participation of SPACE HELLAS in SINGULARLOGIC S.A. amounted to 60%.
and obtaining control of this company.
❑ The amount of € 699 thousand comes from the acquisition of 100% of the share capital
of the company SENSE Single Member S.A.
Goodwill is allocated to cash-generating units for impairment testing purposes. Allocation is
made to cash-generating units that are expected to benefit from the acquisition from which
goodwill originated. The recoverable value of a cash-generating unit is determined using its
value-in-use calculation. This calculation uses cash flow forecasts derived from budgets that
have been approved by the management.
Below are the main assumptions adopted by Management in cases where there was a need
for impairment, taking into account the specific characteristics:
Market Risk Premium: 8,6%, Risk-Free Rate: 4,6%, Growth rate in perpetuity: 2%.
265
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266
At each balance sheet date where the Group assesses whether there are signs of impairment,
the decision to carry out an impairment is made after examining the change in key factors and
if this is deemed to be materially significant.
At each balance sheet date where the Group assesses whether there are signs of impairment,
the decision to carry out an impairment is made after examining the change in key factors and
if this is deemed to be materially significant.
External factors:
Falling Values
Legal economic and technological developments
Interest rates
Political instability and crises
Internal Information and Other Indications:
Obsolescence – Natural Wear and tear
Change in use / Change in useful life
Stop active market
After carrying out the impairment test, it was found that there were no negative indications of
the resulting goodwill at the reporting date.
Below is the calculation of the final goodwill of the acquisition of the above subsidiaries:
SINGULARLOGIC S.A..
Amounts in € thousand
Assets
Intangibles IFRS 3
13.515
Total fixed assets
2.330
Inventory
436
Trade and other receivables
9.285
Cash and equivalents
2.402
Total Assets
27.968
Liabilities
Deff. Tax on IFRS 3 intangibles
1.958
Long term liabilities
5.212
Short term liabilities
14.524
Total Liabilities
21.694
Fair value of equity acquired
6.607
Consideration
5.458
Non-controlling interests
2.643
Goodwill
1.494
Cash flow
Consideration
5.458
Cash acquired
-2.402
Net cash flow at the acquisition
3.056
SPACE HELLAS S.A.
Annual Report 2023
267
The purchase price allocation was carried out by an independent appraiser of repute. Based
on the purchase price allocation of the above subsidiary, intangible assets related to software
programs were recognized.
SENSE ONE S.M.S.A.
Amounts in € thousand
Assets
Intangibles IFRS 3
647
Total fixed assets
68
Inventory
13
Trade and other receivables
40
Cash and equivalents
56
Total Assets
824
Liabilities
Long term liabilities
22
Short term liabilities
546
Total Liabilities
568
Fair value of equity acquired
256
Consideration
955
Goodwill
699
Cash flow
Consideration
955
Cash acquired
-56
Net cash flow at the acquisition
899
The goodwill on the acquisition of the above two companies was calculated based on the fair
value of the net assets of the acquired companies on the date of their acquisition. For the
acquisitions, after carrying out the impairment test, it was found that there were no negative
indications of the resulting goodwill at the reporting date.
4.6.12 LIENS AND PLEDGES
There are no other real liens on non-current assets or property, except, at the Company level,
the underwriting, amounting to € 1.200 thousand, on the property situated at 6 Loch. Dedousi
St., Cholargos, Athens, and the underwriting amounting to € 4.335 thousand, on the property
situated at 302 Ave. Mesogeion, Cholargos, Athens and, at the Group level, the underwriting,
amounting to € 7.200 thousand, on the property situated at 312 Ave. Mesogeion, Cholargos,
Athens, the underwriting, amounting to € 1.200 thousand, on the property situated at St.
Gianniton-I.Kariofylli & Patr. Kyrrilou, Thessaloniki.
SPACE HELLAS S.A.
Annual Report 2023
4.6.13 SUBSIDIARIES, ASSOCIATES AND JOINT VENTURES
The company’s shareholding in subsidiaries, associates and investments as of 31.12.2023 is
disclosed at their acquisition cost less provisions for impairment.
Corporate name
Country
Sector
Ownership
percentage
Direct Indirect
Consolidation
method
Subsidiaries
SPACE HELLAS (CYPRUS) LTD
Cyprus
ICT
100% - Full
SPACE HELLAS Doo Beograd-Stari Grad
Serbia ICT
- 100% Full
SPACE HELLAS (MALTA) LTD
Malta ICT
- 100% Full
SPACE ARAB LEVANT TECHOLOGIES COMPANY
Jordan ICT
- 100% Full
SENSE ONE TECHNOLOGIES Single Member
S.A.
Greece Internet of Things (ΙοΤ) 100% Full
SINGULARLOGIC S.A.
Greece IT and Software 99,93%
-
Full
G.I.T. HOLDINGS S.A. Greece Holding company - 100% Full
GREEK INFORMATION TECHNOLOGY (CYPRUS)
LIMITED
Cyprus Holding company - 100% Full
SINGULARLOGIC ROMANIA COMPUTER
APPLICATION S.R.L.
Romania IT and Software - 40% Equity
SINGULARLOGIC CYPRUS LIMITED Cyprus IT and Software - 99,88% Full
Associates
Web-IQ B.V.
Netherlands Specialiased applications 32,28% - Equity
AgroApps Private Company
Greece
Specialiased applications in
agriculture
35% - Equity
Other investments
MOBICS S.A.
Greece Software development 18,10% - -
P-ΝΕΤ Emerging New Generation Networks
and Applications P.C.
Greece Software development 2,27% - -
14ByDesign
Greece Spin off 2,00% - -
On November 18, 2022, it was decided to dissolve and liquidate the sub-subsidiary company
SPACE HELLAS SYSTEM INTEGRATOR SLR, which was deleted from the relevant Romanian register
in the first quarter of 2023. The liquidation result was charged to the group's results.
On August 04, 2023, the company GIT CYPRUS LTD was put into liquidation. On December 22,
2023, based on the announcement no. 3180877 of the GEM, the company GIT HOLDINGS SA
was put into liquidation.
On September 22, 2023, Space Hellas S.A. sold its minority stake (39,97%) held in the share
capital of "Epsilon SingularLogic SA" with the buyer company being "EPSILON NET S.A." and the
price amounting to 11,8 million euros, while at the same time it purchased 39,933% of the
company "SingularLogic Anonyme Company of Information Systems and IT Applications"
(hereinafter "SINGULARLOGIC") from the company "EPSILON NET S.A." with the price amounting
to 6,3 million euros.
268
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269
On 07/12/2023, the General Assembly of the shareholders of SINGULARLOGIC CYPRUS decided
to increase its share capital by the amount of €1.583.398,44 with the capitalization of obligations
owed by the subsidiary SINGULARLOGIC CYPRUS to the parent SINGULARLOGIC S.A. and cash
payment in the amount of €1.449,38. Following the above, the total share capital of the
company amounts to €1.754.398,44, divided into 718.174 class A and 307.790 class B shares.
SINGULARLOGIC SA's participation rate was 99,88% from 98,80% before the increase and
corresponds to 718.174 class A shares and 306.590 class B shares, worth 1,71 each.
Subsidiaries’ activities
➢ Space Hellas (Cyprus) Limited was incorporated in Cyprus on September 8, 2005, as a
private limited company in accordance with the provisions of the Cyprus Companies Law,
Cap. 113. The main activities of the company are the provision of telecommunications
services and investment property. The share capital of the company consists of 20
thousand shares with a nominal value of 1,71 each. Space Hellas participates with 100%.
➢ SPACE HELLAS (MALTA) LTD was founded at the end of 2012 and is owned by the subsidiary
SPACE HELLAS CYPRUS Ltd. The company was established to serve the group's strategy for
penetrating new markets. Because of the conditions and commercial practices prevailing
in the telecommunications sector in Malta, it was decided to operate through a
subsidiary. This new company has installed telecommunications hub and node services
offered in the local market. Its share capital consists of 5 thousand shares worth € 1 each.
Space Hellas (Cyprus) Limited participates with a percentage of 100%.
➢ SPACE HELLAS Doo Beograd-Stari Grad was founded at the end of 2012 and is owned by
the subsidiary SPACE HELLAS CYPRUS Ltd. The company was established to serve the
group's strategy for penetrating new markets. Because of the conditions and commercial
practices prevailing in the telecommunications sector in Serbia, it was decided to operate
through a subsidiary. This new company has installed telecommunications hub and node
services offered in the local market. Its share capital amounts to Rs 1.172 thousand. Space
Hellas (Cyprus) Limited participates in the capital with 100%.
➢ SPACE ARAB LEVANT TECHNOLOGIES COMPANY was founded at the end of 2017 and is
owned by the subsidiary SPACE HELLAS CYPRUS Ltd. The share capital consists of 50
thousand shares of 1JD each. The company was established to serve the group's strategy
for penetrating new markets. Because of the conditions and commercial practices
prevailing in the telecommunications sector in Jordan, it was decided to operate through
a subsidiary. This new company has installed telecommunications hub and node services
offered in the local market.
SPACE HELLAS S.A.
Annual Report 2023
270
➢ SINGULARLOGIC SA was founded in 2009 and specializes in the development and
distribution of innovative business software products, the study, design and
implementation of integrated IT projects for the Private and Public sectors, as well as the
distribution and support of products of renowned international IT companies. The
company is based in Kifissia. The total share capital of the company amounts to 9.000.000
with a nominal value of € 1 per share. Space Hellas participates with a percentage of 60
%.
➢ SENSE ONE TECHNOLOGIES Sole Member S.A. was founded in 2007, specializing in the
provision of integrated Internet of Things (IoT) solutions. The company is based in Kifissia.
The total share capital of the company amounts to 1.260.000 with a nominal value of € 15
per share. Space Hellas participates with 100%.
➢ Web-IQ B.V. is a Dutch technology company active in the international Web-Intelligence
specialized applications market and Big Data analytics for businesses and organizations.
Web-IQ is actively working with many security authorities around the world to combat
online child abuse. The total share capital of Web-IQ B.V. after the share capital increase
that took place on 13.6.2019 consists of 284.137 shares. Space Hellas participates with a
percentage of 32,28%.
➢ Founded in 2015, AgroApps specializes in the development of digital solutions for the
agricultural sector, which include farming monitoring and management systems, high-
resolution weather forecasting, water resources monitoring and control services,
agricultural insurance services, as well as personalized solutions for companies and public
bodies. The company is based in Thessaloniki. The total company shares of the company
amount to 10.000 with a nominal value of € 1 per company share. Space Hellas
participates with a percentage of 35%.
➢ Mobics Telecommunication and Consulting Services AE was founded in 2006 as a spin-off
of the National University of Athens (Department of Informatics and Telecommunications),
based in Athens. The Mobics specializes in the design, development and provision of
value-added services for mobile and pervasive computing environments and the Internet,
focusing on geographical and information and generally aware framework (context-
aware services). The company is based in the region of the municipality of Athens. The
total share capital of the company amounts to 120.000 with a nominal value of € 3 per
share. Space Hellas participates with a percentage of 18,10%.
SPACE HELLAS S.A.
Annual Report 2023
4.6.14 OTHER LONG-TERM RECEIVABLES
Group
Comppany
Amounts in € thousand
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Rental guarantees 196 158 86 45
Long term receivables from related paties 0 0 0 2.500
Total Other Long term receivables 196 158 86 2.545
On June 16, 2023, the company SINGULARLOGIC S.A. paid off in full the interest-bearing loan
granted to it by SPACE HELLAS in accordance with the contract signed on July 1, 2021 and
announced to the investing public by the 13-04-2021 decision of the Board of Directors of
SPACE HELLAS for the provision of a special license, in accordance with articles 99 et seq. of
Law 4548/2018, for the granting of an interest-bearing loan to SINGULARLOGIC S.A. in the form
of a precautionary financing line and for a capital amount of up to €1.000.000,00 with full
repayment of the amount at maturity.
On December 14, 2022, the contract between SPACE HELLAS and SINGULARLOGIC S.A. was
signed, as announced to the investing public by the decision of its Board of Directors dated
14-12-2022 for the provision of a special license, in accordance with articles 99 et seq. of the
4548/2018, for the granting of an interest-bearing loan to SINGULARLOGIC S.A. in the form of a
preventive financing line for a capital amount of up to €1.500.000,00 with repayment of the
entire amount at maturity. The said loan was repaid in full on July 5, 2023.
4.6.15 INVENTORIES
The Group takes all necessary measures (insurance, safekeeping) to minimize the risk and
possible losses due to loss of inventories from natural disaster theft, etc. Management also
continuously reviews the net realizable value of inventories and makes appropriate provisions
for the impairment of obsolete and slow-moving stocks.
For the current year, the value of obsolete and slow moving stocks amounts to € 196 thousand,
charged in the results of the Group and the Company.
The amount of inventory reflects the company's strategy to achieve the goal of proper
warehouse management without degrading the customer's trustworthy service.
Group
Company
Amounts in Euro thousands
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Goods 12.349 12.241 12.183 12.074
Materials 3.052 3.599 3.052 3.599
Consumables 1.321 1.274 1.315 1.147
Total inventories 16.722 17.114 16.550 16.820
271
SPACE HELLAS S.A.
Annual Report 2023
4.6.16 TRADE RECEIVABLES
Trade receivables are recognized at their acquisition cost (invoice value) less provision for
impairment. A provision for impairment of trade receivables is established when there is
objective evidence that the Group will not be able to collect all of the amounts due according
to the original terms of receivables. The provisions formed are then used for the cancellation of
the receivables of doubtful liquidation
Group
Company
Amounts in Euro thousands
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Trade receivables
76.664 55.886 44.402 26.366
Less: Provisions for doubtful liquidation
32.152 32.453 4.750 4.750
Less: cummulative effect IFRS 9
209 203 79 74
Trade receivables
44.303 23.230 39.573 21.542
Plus: Contract receivables
19.819 30.049 19.819 30.049
Total trade receivables
64.122 53.279 59.392 51.591
The provision for doubtful liquidation has been formed taking into account the maturity of the
receivables in line with the credit policy, as well as historical data and information on clients’
solvency
The above table contains the item "Contract Receivables" of € 19.819 thousand, which refers to
non-invoiced project receivables that are expected to be invoiced in 2024.
The company, during the year, started the execution of projects totaling 105.141 thousand €.
At the end of the current year the company had completed some of these projects. The
executed part is monitored based on the periodic certifications that follow the execution of the
project. At the end of the year, the executed part and the corresponding income appear as
follows:
272
SPACE HELLAS S.A.
Annual Report 2023
Group-Company
Amounts in Euro thousands
31.12.2023 31.12.2022
Contract Receiv ables 39.365 41.869
Contractual Cost occured 64.626 51.239
Plus profit recognised (cummulative) 12.378 10.464
Minus Loss recognised (cummulative) 0 0
Minus Invoices (cummulative) -37.639 -19.834
Minus adv ances -19.546 -11.820
Contract Receiv ables 19.819 30.049
For the calculation of costs incurred until the end of the year, any costs related to future work
related to the contract are excluded and appear as an ongoing project. The total cost incurred
and the profit/loss recognized for each contract are compared with progressive invoicing until
the end of the year. Where the costs incurred in addition to the recognized net profit (less losses)
outweigh the progressive pricing, the difference is recognized as a receivable from 'Contract
Receivables' in the 'Trade receivables' item in Current Assets. When progressive invoicing
exceeds the costs incurred in addition to the net profit (fewer losses) recognized, the balance
is presented as a "Contractual Liabilities" liability in the "Suppliers and Other liabilities" item.
The fair value of customer receivables approximates the book value. Receivables from
customers of both the company and the Group, except for those for which a provision has
been made, are all considered collectable.
Provisions for doubtful collection
Group
Company
Amounts in Euro thousands
2023 2022 2023 2022
Opening balance
32.453 34.073 4.750 5.471
Additions
1.289 0 0 0
Write offs
-1.590 -1.620 0 -721
Total charge
-301 -1.620 0 -721
Closing balance 32.152 32.453 4.750 4.750
Cumulative effect of IFRS 9:
Group
Company
Amounts in Euro thousands
2023 2022 2023 2022
Opening balance
204 214 74 84
Adittions from business ombinatios
0 0 0 0
Additions
5 0 5 0
Write offs
0 -10 0 -10
Total charge
5 -10 5 -10
Closing balance 209 204 79 74
273
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Annual Report 2023
In the context of working capital management, the Group uses factoring services for the earliest
collection of receivables from its customers in Greece
The trade receivables accounts are not bearing any interest. And are usually arranged as
follows: Group 1 - 180 Days, Company 1 - 180 days. The collection of receivables related to
projects depends on the completion stage.
Ageing for receivables
Group
Company
Amounts in Euro thousands
31.12.2023 31.12.2022 31.12.2023 31.12.2022
1 - 90 days 36.590 18.189 32.923 17.204
91 - 180 days 3.024 2.207 2.310 1.320
181 - 360 days 2.372 854 2.237 1.048
> 360 days 2.317 1.980 2.103 1.970
Total trade receivables 44.303 23.230 39.573 21.542
Ageing for receivables from related parties:
Group
Company
Amounts in Euro thousands
31.12.2023 31.12.2022 31.12.2023 31.12.2022
1 - 90 days 0 6 69 636
91 - 180 days 5 0 137 0
181 - 360 days 0 0 0 0
> 360 days 0 0 0 189
Total trade receivables 5 6 206 825
Using past information we can say that the increase in credit risk did not significantly affect our
company as credit risk management policies worked satisfactorily.
The management estimates that at this time, there is no need to change the data affecting
IFRS 9 and, consequently, the increase in credit risk.
4.6.17 OTHER RECEIVABLES
Group
Company
Amounts in Euro thousands
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Cheques receivable 500 339 475 132
Cheques overdue* 7.685 7.685 1.709 1.709
Deducted Taxes & other receivables 2.983 1.614 998 888
Salary prepayments 5 19 5 9
Advances to account for 5 10 5 10
Amounts owed by affiliated undertakings 208 126 130 0
Deferred charges 3.284 3.459 2.744 2.867
Income earned 1.234 2.485 676 786
Other receivables** 2.594 1.565 31 123
Total other receivables 18.498 17.302 6.773 6.524
Less: provisions for doubtful liquidation 8.101 8.084 1.738 1.738
Total other receivables 10.397 9.218 5.035 4.786
* For the account in the "Checks overdue", a provision of equal amount has been made.
** For the amount appearing in the Group's Other Receivables, "Other Debtors" amounting to € 2.594 thousand, mainly concerns Other
receivables, a provision of € 416 thousand has been made.
274
SPACE HELLAS S.A.
Annual Report 2023
"Deferred charges " comprise the following:
❑ Approximately 99% of the costs are related to foreign firms' contractual obligation to
cover maintenance contracts of our customers, where such obligations are not in line
with the customers’ demands, have different maturation beyond the year, and
❑ Approximately 1% of the costs are operating costs (rent, insurance, etc.).
Expenses are recognised on an accrual basis.
The fair value of the trade receivables is approximately equal to their book value. After
impairment, the trade receivables for both the Group and the company are fully collectable.
4.6.18 PREPAYMENTS
Group
Company
Amounts in Euro thousands
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Orders placed abroad 1.478 5.084 1.478 5.084
Prepayments to other creditors 4.615 848 4.828 832
Total prepayments 6.093 5.932 6.306 5.916
4.6.19 CASH AND CASH EQUIVALENTS
Cash and cash equivalents comprise cash on hand, deposits held at call with banks, other short-
term highly liquid investments with original maturities of three months or less:
Group
Company
Amounts in Euro thousands 31.12.2023 31.12.2022 31.12.2023 31.12.2022
Cash on hand 19 67 18 65
Short term Bank deposits 25.069 29.118 19.772 27.264
Total Cash and Cash equivalents 25.088 29.185 19.790 27.329
4.6.20 SHARE CAPITAL
The company’s shares are ordinary registered shares and have been listed in ASE since
29.09.2000.
No changes have occurred during the current period.
275
SPACE HELLAS S.A.
Annual Report 2023
Number of shares and nominal value 31.12.2023 31.12.2022
Paid up capital 6.973.052,40 6.973.052,40
Number of ordinary shares 6.456.530 6.456.530
Nominal value each share 1,08 € 1,08 €
The earnings per share for both the current and preview years have been calculated taking into
account the weighted average number of ordinary shares in issue, which was 6.456.530.
4.6.21 RESERVES
Group
Amounts in € thousand
Share premium Fair value reserves Legal Reserve Special reserce
Currency
exchange
Total
Balance at 1 January 2022 53 2.758 752 492 -64 3.991
Legal reserve formation 0 0 168 0 0 168
Property revaluation 0 1.944 0 0 0
1.944
Deferred tax of property revaluation 0 -427 0 0 0
-427
Currency exchange 0 0 0 0 3
3
Balance at 31 December 2022 53 4.275 920 492 -61 5.679
Balance at 1 January 2023 53 4.275 920 492 -61 5.679
Legal reserve formation 0 0 329 0 0 329
Property revaluation 0 0 0 0 0 0
Deferred tax of property revaluation 0 0 0 0 0 0
Subsidiary wind up 0 0 0 0 58 58
Currency exchange 0 0 0 0 -3
-3
Balance at 31 December 2023 53 4.275 1.249 492 -6 6.063
Company
Amounts in € thousand
Share premium Fair value reserves Legal Reserve Special reserce Total
Balance at 1 January 2022 53 2.758 749 492 4.052
Legal reserve formation 0 0 167 0 167
Property revaluation 0 1.944 0 0 1.944
Deferred tax of property revaluation 0 -427 0 0
-427
Balance at 31 December 2022 53 4.275 916 492 5.736
Balance at 1 January 2023 53 4.275 916 492 5.736
Legal reserve formation 0 0 157 0 157
Property revaluation 0 0 0 0 0
Deferred tax of property revaluation 0 0 0 0 0
Balance at 31 December 2023 53 4.275 1.073 492 5.893
276
SPACE HELLAS S.A.
Annual Report 2023
277
4.6.22 LONG TERM LOANS
The Group’s long term loans amount to € 31.091 thousand compared to € 47.919 thousand
compared to year 2022. The loans comprise:
❑ The mortgage loan ending at 2025, of initial amount € 6.500 thousand, and after interest
and principal payments amounting to € 500 thousand.
❑ The mortgage loan ending at 2025, of initial amount € 2.000 thousand, and after interest
and principal payments amounting to € 500 thousand.
❑ The mortgage loan ending at 2025, of initial amount € 400 thousand, and after interest and
principal payments amounting to € 30 thousand.
❑ The mortgage loan ending at 2025, of initial amount € 800 thousand, and after interest and
principal payments amounting to € 217 thousand.
❑ The mortgage loan ending at 2025, of initial amount € 2.000 thousand, and after interest
and principal payments amounting to € 500 thousand.
❑ The mortgage loan ending at 2026, of initial amount € 500 thousand, and after interest and
principal payments amounting to € 222 thousand.
❑ The mortgage loan ending at 2026, of initial amount € 500 thousand, and after interest and
principal payments amounting to € 219 thousand.
❑ The mortgage loan ending at 2027, of initial amount € 4.000 thousand, and after interest
and principal payments amounting to € 2.200 thousand.
❑ The mortgage loan ending at 2027, of initial amount € 7.000 thousand, and after interest
and principal payments amounting to € 5.833 thousand.
❑ The mortgage loan ending at 2027, of initial amount € 6.000 thousand, and after interest
and principal payments amounting to € 5.000 thousand.
❑ The mortgage loan ending at 2027, of initial amount € 5.000 thousand, and after interest
and principal payments amounting to € 3.332 thousand.
❑ The mortgage loan ending at 2028, of initial amount € 7.000 thousand, and after interest
and principal payments amounting to € 4.000 thousand.
❑ The mortgage loan ending at 2028, of initial amount € 2.000 thousand, and after interest
and principal payments amounting to € 1.167 thousand.
❑ The mortgage loan ending at 2033, of initial amount € 2.400 thousand, and after interest
and principal payments amounting to € 2.400 thousand.
❑ The mortgage loan ending at 2033, of initial amount € 1.440 thousand, and after interest
and principal payments amounting to € 1.440 thousand.
❑ The mortgage loan ending at 2026, of initial amount € 700 thousand, and after interest and
principal payments amounting to € 263 thousand.
❑ The mortgage loan ending at 2026, of initial amount € 800 thousand, and after interest and
principal payments amounting to € 356 thousand.
SPACE HELLAS S.A.
Annual Report 2023
278
❑ The mortgage loan ending at 2026, of initial amount € 1.000 thousand, in favour of
SingularLogic and after interest and principal payments amounting to € 438 thousand.
❑ The mortgage loan ending at 2026, of initial amount € 960 thousand, in favour of
SingularLogic and after interest and principal payments amounting to € 928 thousand.
❑ The mortgage loan ending at 2032, of initial amount € 1.600 thousand, in favour of
SingularLogic and after interest and principal payments amounting to € 1.546 thousand.
The fair value of the short and long term borrowings approximates the book value. The rate used
in the company’s and the Group’s borrowings is floating and renegotiable within a six-month
period. The average interest rate applied is 6,97 %.
4.6.23 OTHER LONG TERM LIABILITES
Liabilities are characterized as long term when they due over 12 months otherwise there are
consider as short term liabilities.
Both for the Group and for the company there are no received guarantees.
Group
Company
Amounts in Euro thousands
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Guarantees received 0 0 0 0
Total Other long term liabilities 0 0 0 0
4.6.24 FAIR VALUE MEASUREMENT
The financial assets measured by the Group and the Company, at the fair value as of the
balance sheet date, are classified under the following levels in accordance with the method
used for determining their fair value:
Level 1: for assets traded in an active market and whose fair value is determined by the market
prices (unadjusted) of similar assets.
Level 2: for assets whose fair value is determined by factors related to market data, either
directly (prices) or indirectly (prices derivatives).
Level 3: for assets whose fair value is not determined by observations from the market but is
mainly based on internal estimates.
During the period, there were no transfers between Levels 1 and 2, nor transfers within and
outside Level 3 for the measurement of fair value. The amounts presented in the Financial
Statements for cash, trade and other receivables, trade and other short-term liabilities and Bank
short-term liabilities approximate their respective fair values due to their short-term maturity.
SPACE HELLAS S.A.
Annual Report 2023
The method used for the fair value measurement considers all possible parameters in order to
approximate the fair value and the financial assets are classified at level 3 except for banking
loans classified a level 2.
4.6.25 PERSONNEL EMPLOYEE - EMPLOYEE BENEFITS
The personnel employed on 31.12.2023 for the Group have reached 771 persons, and for the
company has reached 589 persons, while as of 31.12.2022, amounted to 844 and 582,
respectively.
4.6.25.1 Provisions for employees benefits
The management of the Group assigned an independent actuary to prepare a study
concerning the calculation of the obligations of the Group to its staff, according to what is
provided by Law 2112/20 with the amendments of Law 4093/2012. The study is done according
to the projected credit unit and the accounting presentation of the results of the study is done
in accordance with the specifications set by the International Accounting Standards (IAS 19).
The results of the study are obligatorily recorded in the Statement of Financial Position and the
Statement of Comprehensive Income of the Group.
Group
Company
Amounts in Euro thousands
31.12.2023 31.12.2022 31.12.2023 31.12.2022
Present value of unfunded obligations 940 866 442 360
Not recognized actuarial gains\ losses 0 0 0 0
Reserves to be formed 940 866 442 360
Provisions for employers benefits recognized in the income
statement
Current service cost 131 105 70 41
Cost of interest 30 19 14 7
Actuarial loss / (gain) 0 0 0 0
Past service cost 115 94 108 67
Net periodic cost 276 218 192 115
Liability recognized in the Statement of financial position
Net liability – opening balance as at 01.01 809 805 360 328
Benefits paid -127 -166 -120 -126
Cost recognized in the income statement 276 218 192 115
Change due to branch spin off -7 -57 - -
Gains/Losses recognized in Equity -11 9 10 43
Net liability 940 809 442 360
Present value of the liability
Net liability – opening balance as at 01.01 809 805 360 328
Current service cost 131 105 70 41
Cost of interest 30 19 14 7
Past service cost 115 94 108 67
Benefits paid -127 -166 -120 -126
Actuarial loss / (gain) 0 0 0 0
Change due to branch spin off -7 -57 - -
Gains/Losses recognized in Equity -11 9 10 43
Present value of the liability 940 809 442 360
279
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Annual Report 2023
280
The assumptions used are the following:
A. Mortality Scoreboard: Swiss EVK 2000 Mortality Scoreboard.
B. Likelihood of Voluntary exit (Turnover table)
TURNOVER
Age-Years of service
0-4
5-9
10-14
15-19
20+
18-24
2,5%
0,0%
0,0%
0,0%
0,0%
25-29
2,5%
2,5%
0,0%
0,0%
0,0%
30-34
2,5%
2,5%
2,0%
0,0%
0,0%
35-39
2,0%
2,0%
2,0%
1,5%
0,0%
40-44
2,0%
2,0%
1,5%
1,5%
0,0%
45-49
2,0%
1,5%
1,0%
1,0%
0,0%
50-54
1,0%
1,0%
1,0%
1,0%
0,0%
55-59
1,0%
0,5%
0,5%
0,5%
0,0%
60+
0,0%
0,0%
0,0%
0,0%
0,0%
C. Age of Normal Retirement: According to the statutory provisions of the main insurance Fund
of each employee.
D. Inflation: 2,4% for the year 2024/ 2,2% for the year 2025 onwards (according to European
Central Bank data).
E. Annual Salary Increase: 1,5%.
F. Discount Rate: 3,95% (the discount rate chosen follows the trend of the European bond index
iBoxx € Financials AA 10+ as produced by the International Index Company).
G. Valuation Date: 31/12/2023.
Η. Population Data: The data of the Group's employees on 31/12/2023 (available as of
02/02/2024).
I. Valuation Method: Projected Unit Credit. According to this method, the present value of the
part of the benefit due to the previous service of the active insured (PVB) is estimated. The cost
of the current service for next year should be sufficient to cover the "jump" that the new PVB will
make due to another year of service in the calculation of the supply, i.e., the addition of another
accrual to the supply we had at the end of the previous year.
4.6.26 DEFERRED INCOME TAX
Taxes are calculated on temporary differences, according to the liability method, using the tax
rates applicable in the countries in which the Group companies operate. The calculation of the
deferred taxes of the Group and the Company is re-examined in each fiscal year in order for
the balance that appears in the financial statements to be in accordance with the applicable
tax rates. The movement of deferred taxes after set-off is as follows:
SPACE HELLAS S.A.
Annual Report 2023
Group
Amounts in € thousand 31.12.2022
Amounts recognised
through income
statement
Amounts
recognised through
equity
31.12.2023
Deferred tax liabilities
Depreciat ion rate difference effect -1.224 -260 0 -1.484
Fair value adjustment s Property , plant and equipment -1.206 0 0 -1.206
Other current receiv ables -204 148 0 -56
Libilit ies related to const ruction contract s -1.344 -144 0 -1.488
Intangibles and fix ed assets through IFRS 3 -1.509 137 0 -1.371
Other pay ables 14 -14 0 0
Total Deferred tax liabilities -5.471 -133 0 -5.605
Deferred tax assets
Provisions for Trade and ot her receivables 237 -231 0 6
Valuation differences -71 31 0 -40
Provisions for credit losses 16 1 0 17
Post -employment and t ermination benefits 192 19 -2 209
Impairment of long t erm Receivables 35 0 0 35
Rights of Use 47 -31 0 16
Inventory impairments 0 -43 0 -43
Tax deductible losses 1.376 -1.376 0 0
Total Deferred tax assets 1.832 -1.630 -2 200
Total Deferred tax -3.639 -1.763 -2 -5.405
Group
Amounts in € thousand 31.12.2022
Amounts recognised
through income
statement
Amounts
recognised through
equity
31.12.2023
Deferred tax liabilities
Depreciat ion rate difference effect -689 -123 0 -812
Fair value adjustment s Property , plant and equipment -1.206 0 0 -1.206
Libilit ies related to const ruction contract s -1.344 -144 0 -1.488
Total Deferred tax liabilities -3.239 -267 0 -3.506
Deferred tax assets
Provisions for Trade and ot her receivables 231 -231 0 0
Valuation differences -71 31 0 -40
Provisions for credit losses 16 1 0 17
Post -employment and t ermination benefits 79 16 2 97
Impairment of long t erm Receivables 35 0 0 35
Rights of Use 5 7 0 12
Inventory impairments 0 -43 0 -43
Tax deductible losses 230 -230 0 0
Total Deferred tax assets 525 -449 2 78
Total Deferred tax -2.714 -716 2 -3.428
Deferred tax assets are offset against deferred tax liabilities when there is a legal right to set off,
and both are subject to the same tax authority.
281
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Annual Report 2023
4.6.27 TRADE AND OTHER PAYABLES
Liabilities are characterized as long-term when their due is less than 12 months; otherwise, they
are considered long-term liabilities.
Group
Company
Amounts in € thousand 31.12.2023 31.12.2022 31.12.2023 31.12.2022
Trade payables 38.304 34.453 34.923 31.258
Checks payables 3.994 4.798 3.215 4.022
Customer dow n payments/advances 4.387 11.756 4.384 11.736
Social security 1.366 1.219 873 806
W ages and salaries payable 54 12 52 0
Short term liabilities to factors 229 502 229 490
Other payables 2.558 1332 141 477
Amounts due to related parties 0 0 4 0
Nex t y ear’s Income 66 140 22 8
Accrued ex penses 907 515 352 312
Purchases under arraignment 4.589 4.242 4.589 4.242
Total Trade and other payables 56.454 58.969 48.784 53.351
4.6.28 PROVISIONS
It is noted that the Group has formed provisions for doubtful customers amounting to 32.361
thousand € and Doubtful Debtors amounting to 8.101 thousand €, which are included as offsets
in trade, in other receivables, respectively, as well as for technologically depreciated -
damaged stocks amounting to 196 thousand €, which are included as offsets in commercial,
other receivables and stocks respectively.
Group
Amounts in € t housand
31.12.2022 Additions Provisions used Decreases 31.12.2023
Prov isions for tax unaudited years 61 0 0 0 61
Prov isions for employers benefits 866 265 127 64 940
Other prov isions 0 0 0 0 0
Total 927 265 127 64 1.001
Company
Amounts in € thousand
31.12.2022 Additions Provisions used Decreases 31.12.2023
Provisions for tax unaudited years 61 0 0 0 61
Provisions for employers benefits 360 202 120 0 442
Other provisions 0 0 0 0 0
Total 421 202 120 0 503
The Company, using tax audit data from past tax-audited fiscal years, reserves an amount of €
61 thousand to cover the possibility of additional taxes being imposed in the event of an audit
by the tax authorities.
282
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283
4.6.29 DISPUTED CLAIMS
There are no disputed claims that might have a significant impact on the financial position of
both the Group and the Company
4.6.30 UNAUDITED FISCAL YEARS BY THE TAX AUTHORITIES
Company
Tax Unaudited Years
SPACE HELLAS (CYPRUS) LTD 2011 – 2023
SPACE HELLAS Doo Beograd-Stari Grad 2012 - 2023
SPACE HELLAS (MALTA) LTD 2012 - 2023
SPACE ARAB LEVANT TECHNOLOGIES LLC 2017 - 2023
SINGULARLOGIC S.A.. 2017 - 2023
SENSE ONE Single Member S.A. 2017 - 2023
GIT HOLDINGS S.A. 2017 - 2023
For the unaudited tax years of the Group companies, there is the possibility of imposing
additional taxes and surcharges at the time of their examination and finalization by the
competent tax authorities. The company has formed a cumulative provision of € 61 thousand
in order to cover the possibility of imposing additional taxes in the event of an audit by the tax
authorities. For the other Group companies, no provision has been made for unaudited tax
years, as it is estimated that the charge for the imposition of additional taxes will be insignificant.
Greek tax law and related provisions are subject to interpretation by the tax authorities and the
administrative courts. Income tax returns are filed on an annual basis. Profits or losses declared
for tax purposes remain temporary until the tax authorities examine the taxpayer's tax returns
and books, at which time the relevant tax liabilities are settled. According to the current tax
legislation (article 36, law 4174/2013), the Greek tax authorities may impose additional taxes
and fines upon tax audits within the prescribed limitation period, which, in principle, is five years
from the end of the next year in which the deadline for submitting the income tax return expires.
Based on the above, in principle and based on the general rule, the years up to 2016 are
considered and finalized.
There is no statutory tax audit system for subsidiaries based abroad. Audits are carried out
exceptionally where appropriate by the tax authorities of each country on the basis of specific
criteria. Tax liabilities resulting from the submission of the annual tax return remain under audit
by the tax authorities for a certain period of time in accordance with the tax laws of each
country.
From the fiscal year 2011 to the fiscal year 2015, the Greek corporations and the Limited Liability
Companies, whose annual financial statements are compulsorily audited, were obliged to
SPACE HELLAS S.A.
Annual Report 2023
receive the "Annual Certificate" provided for in §5 of article 82 of Law 2238 / 1994 and article
65A of Ν4174 / 2014, issued following a tax audit carried out by the statutory auditor or an audit
firm that audits the annual financial statements.
From the year 2016 onwards, the tax certificate is optional. Upon completion of the tax audit,
the Statutory Auditor or Audit Office issues to the company a "Tax Compliance Report," and the
Auditor or audit firm then submits it electronically to the Ministry of Finance, based on POL
1124/2015, as amended by the POL 1108/2017 by the tenth day of the tenth month following
the end of the fiscal year.
For the Company and its Greek subsidiaries, and for the years 2011 to 2022, this audit has been
completed with the issuance of the relevant Tax Compliance Reports without qualification.
There is an ongoing tax audit of the company for the year 2023 by statutory auditors, from which
no significant additional charges are expected to arise other than those disclosed in the
financial statements.
From 1 January 2014 onwards, dividends distributed within the same group by companies
within the EU are exempt from both income tax and withholding tax, provided, inter alia, that
the parent company participates in the company distributing the dividend at a minimum
shareholding of 10% for at least two consecutive years.
The Group forms a provision when necessary, by case and by company, against possible
additional taxes that may be imposed by the tax authorities.
4.6.31 CONTINGENT EVENTS
4.6.31.1 Commitments -Guarantees
The Group has contingent liabilities in respect of banks, other guarantees and other matters
arising in the ordinary course of business. No substantial charges are expected to arise from
contingent liabilities. No additional payments are expected after the date of preparation of
these financial statements.
The contingent liabilities for letters of guarantee for the Company and the Group in the ordinary
course of business are:
Group
Company
Amounts in € thousand 31.12.2023 31.12.2022 31.12.2023 31.12.2022
Guarantee letters to secure good performance of
contract terms
14.619 11.997 12.883 11.121
Total Contingent Liabilities
14.619 11.997 12.883 11.121
284
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➢ The company had guaranteed, for its subsidiary SINGULARLOGIC SA, a total amount of
€28.730 thousand; out of the approved guaranteed financing limits, the amount used
amounts to €10.541 thousand.
4.6.31.2 Excess clause provisions and Disputed claims
There are no cases (note. 4.6.29) that might have a significant impact on the financial position
of both the Group and the Company.
4.6.31.3 Other contingent liabilities
The tax framework and tax practices in Greece, which determine the tax base for the
transactions of Group companies, may give rise to uncertainties inherent in their complexity
and the fact that they are subject to changes and alternative interpretations by the competent
authorities at different times. Therefore, there may be categories of costs or handling of various
issues for which a company may have to evaluate on a different basis from that applied during
the preparation of tax returns or the preparation of financial statements. It is customary for tax
inspections to be carried out by Tax Authorities, on average, 5-7 years after filing the tax return.
All of this leads to inherent difficulties in identifying and accounting for tax liabilities. As a result,
the management aims to define its policy based on the legislation available at the time of
accounting for a transaction by obtaining specialized legal and tax advice.
For the unaudited tax years of the Group companies, as mentioned in note 4.6.30, there is the
possibility of imposing additional taxes and surcharges at the time of their examination and
finalization by the competent tax authorities. The company has formed a cumulative provision
of € 61 thousand in order to cover the possibility of imposing additional taxes in the event of an
audit by the tax authorities. For the other Group companies, no provision has been made for
unaudited tax years, as it is estimated that the charge for the imposition of additional taxes will
be insignificant.
4.6.31.4 Capital comittements
As of 31.12.2023, there were no capital commitments for the Group and the Company.
4.6.32 CASH FLOW
Group
Company
Amount ins € thousand
01.01-
31.12.2023
01.01-
31.12.2022
01.01-
31.12.2023
01.01-
31.12.2022
Total cash inflow/(outflow) from operating activities
3.948 678 -2.319 230
Total cash inflow/(outflow) from investing activities
-5.350 -7.396 -2.603 -3.030
Total cash inflow/(outflow) from financing activities
-2.695 12.638 -2.617 10.716
285
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Annual Report 2023
286
Cash flow from operating activities is positive, amounting to 3.948 thousand €, compared to 678
thousand €in the previous year.
Cash flow from investing activities is positive, amounting to 5.350 thousand €. These funds were
channelled into implementing the Group's investment strategy, which is attributable to the
execution of the Group's investment plans.
The cash flow from financing activities is positive, amounting to 2.695 thousand €, implementing
the group's financial plan.
4.6.33 CONTINGENT EVENTS - TRANSACTIONS BETWEEN THE COMPANY AND RELATED PARTIES (IAS 24) FROM 01-
01-2023 TO 31-12-2023
Each affiliated company follows the rules regarding transparency, independent financial
management, accuracy and correctness of its transactions, as defined by law. Transactions
between the Company and its affiliated companies are carried out at a price or consideration
which is comparable to that which would be carried out if the transaction was carried out with
any other third party, natural or legal person, with the conditions prevailing in the market at the
time of the transaction.
The following transactions concern transactions with related parties, as defined by IAS 24,
cumulatively from the beginning of the financial year until its end, as well as the balances of
the receivables and liabilities of the company and the group at the end of the current year,
which have arisen from the specific transactions of the related parties.
The commercial transactions of the Group and the Company with its affiliated persons during
the year have been carried out in compliance with the usual market conditions.
The Group and the Company do not engage in any transaction of an unusual nature or
content which is material to the Group, or the Companies and persons closely related to it and
does not intend to engage in such transactions in the future. None of the transactions contain
special terms and conditions.
The following tables present the main intercompany transactions between the Company, its
subsidiaries, associates, other companies, and the members of the Management, both during
the examined period and during the previous period.
SPACE HELLAS S.A.
Annual Report 2023
Amounts in € thousand
Revenue from
dividends
Sales
Income from
interest
Total income-
Parent company
Total income-
Group
2023 2022 2023 2022 2023 2022 2023 2022 2023 2022
SPACE HELLAS (CYPRUS) LTD 568 363 146 146 - -
714 509 - -
SPACE HELLAS (MALTA) LTD - - 3 2 - -
3 2 - -
SPACE HELLAS D.o.o. BEORGRAD - - 3 3 - -
3 3 - -
SPACE ARAB LEVANT TECHNOLOGIES LLC - - - - - -
0 0 - -
Sense One Single mebmer S.A. - - 41 40 - -
41 40 - -
SingularLogic S.A. - - 1.513 1.367 66 57
1.579 1.424 - -
Total Subsidiaries 568 363 1.706 1.558 66 57 2.340 1.978 0 0
Web-IQ B.V. - - 83 63 - -
83 63 83 63
AgroApps P.C. - - - - - -
0 0 0 0
Total Associates 0 0 83 63 0 0 83 63 83 63
MOBICS S.A - - - - - -
0 0 0 0
Total other related parties 0 0 0 0 0 0 0 0 0 0
568 363 1789 1621 66 57 2.423 2.041 83 63
A mounts in € thousand
Total Company
expenses
Total Group expenses
2023 2022 2023 2022
SPACE HELLAS (CYPRUS) LTD 64 35 - -
SPACE HELLAS (MALTA) LTD 30 - - -
SPACE HELLAS D.o.o. BEORGRAD 45 31 - -
SPACE ARAB LEVANT TECHNOLOGIES LLC 402 322 - -
Sense One Single Member S.A. 190 121 - -
SINGULARLOGIC S.A. 17 38 - -
T otal Subsidiar ies 748 547 0 0
W eb-IQ B.V.
67 63 67 63
AgroApps P.C.
80 0 0 0
T otal A ssociates 147 63 67 63
MO BIC S S .A . 0 0 0 0
T otal other r e lated parties 0 0 0 0
895 610 67 63
Amounts in € t housand
Total Receivables -
Company
Total Receivables - Group
2023 2022 2023 2022
SPACE HELLAS (CYPRU S) LTD 276 189 - -
SPACE HELLAS (MALTA) LTD 0 0 - -
SPACE HELLAS D.o.o. BEORGRAD 0 0 - -
SPACE ARAB LEVANT TECHNOLOGI ES LLC 0 - - -
SingularLogic S.A 64 629 - -
Sense One Single Member S.A. 390 157 - -
Total Subsidiaries 730 975 0 0
W eb-IQ B.V. 5 7 5 7
AgroApps P.C. 0 0 0 0
Total Associates 5 7 5 7
MOBICS S.A. 0 0 0 0
Total other related parties 0 0 0 0
735 982 5 7
Amounts in € t housand
Total Liabilites - Company
Total Liabilites - Group
2023 2022 2023 2022
SPACE HELLAS (CYPRUS) LTD 110 46 - -
SPACE HELLAS (MALTA) LTD 35 - - -
SPACE HELLAS D.o.o. BEORGRAD 0 44 - -
SPACE ARAB LEVANT TECHNOLOGIES LLC 34 35 - -
Sense One Single Member S.A. 0 0
SINGU LARLOGI C S.A. 4 0 - -
Total Subsidiaries 183 125 0 0
W eb-IQ B.V. 8 60 8 60
AgroApps P.C. 50 - - -
Total Associates 58 60 8 60
MOBICS S.A. - - - -
Total other related parties 0 0 0 0
241 185 8 60
287
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Annual Report 2023
➢ Both the services from and towards the related parties as well as the sales and purchase of
goods are contracted with the same trade terms and conditions as for the non-related
parties.
➢ From the above table, the transactions between the Company and related parties have
been eliminated from the consolidated financial statements.
Table of Key Management Compensation:
Amounts in € thousand
Group
Company
2023 2022 2023 2022
Salaries and other employee benefits 2.497 2.440 1.440 2.263
Receivables from executives and members of the Board 2 2 2 2
Payables to executives and member of the Board 0 19 0 19
➢ No loans have been given to members of the Board or other executive members nor to
their family members.
The transactions and remuneration of managers and members of the Management in 2023
have been significantly differentiated in relation to the previous year as within the year 2022, an
amount of €859 thousand was accounted for as extraordinary remuneration in execution of the
22/6/2022 decision of Ordinary General Meeting of the shareholders and the decision of
30/6/2022 of its Board of Directors, SPACE HELLAS, of the allocation of a total of 103.308 own
shares to the two beneficiaries thereof, i.e. to the CEO of the company, Mr. Ioannis Mertzanis,
and to the Financial Director of the company, Mr. Ioannis Doulaveris.
Tables of Guarantees to third parties:
Group
Company
Amounts in € thousand
2023 2022 2023 2022
Guarantees to third parties on behalf of subsidiaries and
28.730 19.155 28.730 19.155
joint ventures
Used guarantees to third parties on behalf of subsidiaries 10.541 5.528 10.541 3271
Letters of guarantee for advance payment, good
0 0 0 0
execution and counter-guarantee
➢ The company had guaranteed against banks, for its subsidiary SINGULARLOGIC S.A., a total
amount of 28.730 thousand €; out of the approved guaranteed financing limits, the amount
used amounts to 10.541 thousand €.
288
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289
4.7 ALTERNATIVE PERFORMANCE MEASURES
The European Securities and Markets Authority (ESMA / 2015 / 1415el) published the final
guidelines on Alternative Performance Measures (APMAs) applicable from 3 July 2016 to
companies listed in organized exchange systems. ALPs are disclosed by publishers when
publishing regulated information and are intended to enhance transparency and promote the
usefulness and fair and full information of the investing public.
The Alternative Performance Measurement Score (ALP) is an adjusted economic measurement
of historical or future economic performance, financial position or cash flow other than the
economic measurement set out in the applicable financial reporting framework. That is to say,
ALP does not rely exclusively on the standards of financial statements but provides substantial
additional information, excluding elements that may differ from operating results or cash flows.
Transactions with non-functional or non-cash valuation with a significant effect on the
Statement of Comprehensive Income are considered as factors influencing the adjustment of
the indicators to EMMA. These non-recurring items, in most cases, could arise, among others,
from:
❑ impairment of assets
❑ Restructuring measures
❑ consolidation measures
❑ sale of assets or concessions
❑ changes in legislation, damages for damages or legal claims.
ALPs should always be taken into account in conjunction with the financial results prepared
under IFRSs and should under no circumstances be considered as replacing them. The Group
uses the adjusted indicators to better reflect the financial and operating performance that is
related to the Group's activity as such in the reference year as well as the corresponding
comparable period last year.
The definition, analysis and basis of calculation of the ALPs use.
Elements Affecting Adaptation
Figures influencing the adjustment of the indices used by the Group to extract the SNAUs
according to the first half financial statements 2023 and the corresponding financial statements
of the prior period are the provisions of doubtfulness.
The data that affect the adjustment of the indicators (SEMCs) on 31.12.2023 and 31.12.2022 are
shown in the table below:
SPACE HELLAS S.A.
Annual Report 2023
Group
Amounts in € thousand 31.12.2023 31.12.2022
Comprehensive Income Statement
Provisions for impairment
-5 -240
Total
-5 -240
Adjusted EBITDA
Adjusted EBITDA is defined as the sum of Earnings Before Taxes, Financials, Investments and
Depreciation minus the items that affect the adjustment (payments of voluntary retirement
plans, doubtful debts, reimbursement fees and non-recurring legal cases).
The definition, analysis and basis of calculation of the EMMA used by the Group is set out
below:
EBITDA adjusted
=
EBITDA
-
Adjusting elements
Group
Amount in € thousand
31.12.2023 31.12.2022 Divergence %
EBITDA 17.480 10.512
66,29%
Provisions for bad debt -5 -240
EBITDA adjusted 17.475 10.272
70,12%
Divergence %
-0,03% -2,28%
The current year's adjusted EBITDA shows a marginal difference in relation to the previous year's
adjusted EBITDA, which increased by 70,12%.
Adjusted EBIT
Adjusted EBITDA is defined as the sum of Earnings Before Taxes, Financials and Investments
results, minus the items that affect the adjustment (payments of voluntary retirement plans,
doubtful debts, reimbursement fees and non-recurring legal cases).
EBIT Adjusted
=
EBIT
-
Adjusting elements
Group
Amount in € thousand
31.12.2023 31.12.2022 Divergence %
EBIT 11.281 7.028
60,52%
Provisions for bad debt -5 -240
EBIT adjusted 11.276 6.788
66,12%
Divergence %
-0,04% -3,41%
290
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Annual Report 2023
The adjusted EBIT of the current year shows a marginal difference in relation to the EBIT, while
the adjusted EBITDA increased by 66,12% compared to the previous year.
Adjusted Cash Flows After Investments
Adjusted cash flows after Investments are defined as the sum of net cash inflows from operating
activities less the components that affect the adjustment (payments of voluntary retirement
plans, doubtful debts, reimbursement costs and non-recurring legal cases) and by suggesting
net cash flows from investing activities, as shown in the table below.
Cash Flows After
Investments adjusted
=
Net operating
Cashflow
-
Adjusting
elements
-
Net Cash flow
from investing
activity
Group
Amounts in € thousand
31.12.2023 31.12.2022 Divergence %
Net Cash flow from operating activities
3.948 678 482,3%
Net Cash flow from investing activity
-5.350 -7.396 -28%
Cash Flows After Investments
-1.402 -6.718
-79%
Provisions for impairment
-4 -240 -98%
Cash Flows After Investments adjusted
-1.406 -6.958
-80%
Divergence %
0% 4%
The Adjusted Cash Flows after investments for the current period compared to the previous
period show a marginal difference in relation to Cash Flows after investments.
Adjusted Net Borrowing
Adjusted net borrowing is defined as net borrowing, which includes other financial assets as
these are relatively readily convertible assets. The calculations are presented in the table below.
Adjusted Net
Borrowing
=
Net Borrowing
-
Other financial Assets
291
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Annual Report 2023
Group
Amounts in € thousand
31.12.2023 31.12.2022 Divergence %
Long term loans 31.091 47.919 -35,12%
Shor term loans 41.670 22.683 83,71%
Cash and Cash equivalents -25.088 -29.185 -14,04%
Net Borrowing 47.673 41.417
15,10%
Other financial Assets -13 -13 0,00%
Adjusted Net Borrowing 47.660 41.404
15,11%
Divergence %
-0,03% -0,03%
The adjusted Net borrowing is almost equal to the net borrowing in the current and previous
periods.
4.8 ADJUSTMENTS AND RECLASSIFICATIONS
4.8.1 DISCONTINUED OPERATIONS
A spin-off of RnF branch of subsidiary SingularLogic S.A.
On 12/22/2023, the decision of the General Commercial Register (G.E.M.I.) under number
1007/22.12.2023 was registered in the General Commercial Register (G.E.M.I.), with Registration
Code Number 3949731. of the Chamber of Commerce of Thessaloniki (AD: 6ΡΡΣ469ΗΡΥ-ΒΘΤΣ),
which approved the division by spin-off of the branch of services and sales of integrated systems
to retail and fuel companies Retail & Fuel (hereinafter "Retail & Fuel Branch") of the company
with the name "SINGULARLOGIC ANONIME COMPANY OF INFORMATION SYSTEMS AND
INFORMATION APPLICATIONS" and the trade name "SINGULARLOGIC S.A.", a subsidiary of
"SPACE HELLAS", and its contribution to the company under the name "EPSILON
SINGULARLOGIC S.A." with number GE.MI. 157876205000, a subsidiary of the company "EPSILON
NET S.A.", against the issue of 2.290.076 new common registered shares of "EPSILON
SINGULARLOGIC S.A.", with a nominal value of €1,00 and an offer price of €1,31 each
(hereinafter the "New Shares") in "SINGULARLOGIC S.A.", in accordance with the applicable
provisions of Law 4601/2019 and Law 4172/2013. With the approval of the split with the spin-off
of the Retail & Fuel Branch, the following results were achieved: • The spin-off of the Retail &
Fuel Branch of SINGULARLOGIC S.A. was completed. with a spin-off balance sheet date of
31/10/2023 and its contribution to the beneficiary EPSILON SINGULARLOGIC S.A., which is
substituted as universal successor to the entire transferred property, as reflected in the
accounting statement of the Retail & Fuel Branch (on 31/10/ 2023) and formed until the day of
completion of the separation. • The share capital of EPSILON SINGULARLOGIC S.A. was
increased. by €2.290.076 with the issuance of New Shares for the benefit of the contributor to
the Retail & Fuel Sector SINGULARLOGIC S.A. Finally, on the same date, i.e. on 22.12.2023, the
transfer of the New Shares to EPSILON NET S.A. was completed. from SINGULARLOGIC S.A.,
against the agreed price of € 3.000.000, which was paid in full.
292
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The financial information related to the spun-off branch of activity on 31.12.2023 is as follows:
Income statement
Discontinued operations
Amounts in € thousand 01.01-31.10.2023 01.01-31.12.2022
Revenue 6.121 8.012
Cost of sales -5.594 -7.096
Gross profit 527 916
Other income 1 12
Other expenses -619 -667
Earnings before taxes,
investing and financial results -91 261
Less: Taxes 0 0
Profit after taxes -91 261
Financial position statement
Discontinued operations
Amounts in € thousand 01.01-31.10.2023 01.01-31.12.2022
ASSETS
Propert, Plant and Equipment 66 59
Rights of Use 192 151
Total Non-current assets held for sale 258 210
Inventories 369 267
Trade debtors 1.111 2.087
Cash and cash equivalents 21 0
Total Current assets held for sale 1.501 2.354
TOTAL ASSETS 1.759 2.564
EQUITY AND LIABILITIES
Retained earnings 170 261
Long term leases 197 152
Retirement benefit obligations 64 57
Total Non-current liabilities held for sale 261 209
Trade and other payables 1.328 2.094
Total Current liabilities held for sale 1.328 2.094
Total Equity and Liabilities 1.759 2.564
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4.8.2 INCOME STATEMENT
Group
Amounts in € thousand
Notes
01.01-31.12.2022
reported
IFRS 5
01.01-31.12.2022
Adjusted
Revenue
4.6.1
128.586 7.923 120.663
Cost of sales -105.987 -7.007 -98.980
Gross profit 22.599 916 21.683
Other income
4.6.2
7.774 13 7.761
Administrative expenses
4.6.3
-9.771 -114 -9.657
Research and development cost
4.6.3
-1.837 0 -1.837
Selling and marketing expenses
4.6.3
-10.572 -547 -10.025
Other expenses
4.6.4
-899 -2 -897
Earnings before taxes,
investing and financial results
7.294 266 7.028
Interest & other similar income 2.631 0 2.631
Profit/(loss) from revaluation of investments
Interest and other financial expenses -4.967 -5 -4.962
in subsidiaries - associated companies
4.6.5
745 0 745
Profit/(loss) before taxes 5.703 261 5.442
Less: Taxes
4.6.6
-683 0 -683
Net result from discontinued operation 0 -261 261
Profit after taxes (A) 5.020 0 5.020
- Equity Shareholders 4.685 0 4.685
- Minority Interests in subsidiaries 335 0 335
Earnings per share - basic (in €) 0,7256 0,7256
SUMMARY OF INCOME STATEMENT
Profit after taxes 10.816 304 10.512
Less depreciation 3.522 38 3.484
Profit before interest and taxes, (EBIT) 7.294 266 7.028
Profit before taxes 5.703 261 5.442
Profit after taxes 5.020 0 5.020
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4.8.3 FINANCIAL POSITION STATEMENT
Group
Amounts in € thousand
ΣΗΜΕΙΏΣΕΙΣ
31.12.2022
reported
IFRS 5 31.12.2022 Adjusted
ASSETS
Non-current assets
Property, plant & equipment
4.6.7
21.270 59 21.211
Rights of use
4.6.9
2.766 151 2.615
Goodwill
4.6.11
2.621 0 2.621
Intangible assets
4.6.8
17.541 0 17.541
Investments in subsidiaries
4.6.13
0 0 0
Investments in associates
4.6.13
13.620 0 13.620
Other long term receivables
4.6.14
158 0 158
Non-current assets held for sale 0 -210 210
Total Non-current assets 57.976 0 57.976
Current assets
Inventories
4.6.15
17.381 267 17.114
Trade debtors
4.6.16
55.366 2.087 53.279
Other debtors
4.6.17
9.218 0 9.218
Financial assets 13 0 13
Advanced payments
4.6.18
5.932 0 5.932
Cash and cash equivalents
4.6.19
29.185 0 29.185
Current assets held for sale 0 -2.354 2.354
Total Current assets 117.095 0 117.095
TOTAL ASSETS 175.071 0 175.071
EQUITY AND LIABILITIES
Equity attributable to equity holders of the parent
Share Capital
4.6.20
6.973 0 6.973
Share premium
4.6.21
53 0 53
Fair value reserves
4.6.21
4.275 0 4.275
Other Reserves
4.6.21
1.350 0 1.350
Treasury shares 0 0 0
Retained earnings 14.381 0 14.381
Equity attributable to equity holders of the parent 27.032 0 27.032
Minority interests 3.600 0 3.600
Total equity 30.632 0 30.632
Non-current liabilities
Other non-current liabilities
4.6.23
0 0 0
Long term loans
4.6.22
47.919 0 47.919
Long term leases 1.598 152 1.446
Provisions
4.6.28
61 0 61
Retirement benefit obligations
4.6.25
866 57 809
Deferred income tax liability
4.6.26
3.639 0 3.639
Long term liabilities held for sale 0 -209 209
Total Non-current liabilities 54.083 0 54.083
Current liabilities
Trade and other payables
4.6.27
61.063 2.094 58.969
Income tax payable 5.357 0 5.357
Short-term borrowings 22.683 0 22.683
Short term leases 1.253 0 1.253
Short term liabilities held for sale 0 -2.094 2.094
Total Current liabilities 90.356 0 90.356
Total Equity and Liabilities 175.071 0 175.071
295
SPACE HELLAS S.A.
Annual Report 2023
4.8.4 CASH FLOW STATEMENT
Group
Amounts in € thousand
01.01-31.12.2022
Reported
IFRS 5
01.01-31.12.2022
Adjusted
Cash flows from operating activities
Profit/(Loss) Before Taxes 5.703 261 5.442
Adjustments for: 0
Depreciation & amortization 3.522 38 3.484
Impairment of assets -41 0 -41
Provisions -770 0 -770
Foreign exchange differences -44 0 -44
Net (profit)/Loss from investing activities 4.967 5 4.962
Interest and other financial expenses 0
Plus or minus for Working Capital changes: -7.287 0 -7.287
Decrease/(increase) in Inventories -10.801 -248 -10.553
Decrease/(increase) in Receivables 9.435 31 9.404
(Decrease)/increase in Payables (excluding banks) 0
Less: -4.304 0 -4.304
Interest and other financial expenses paid 298 0 298
Taxes paid 0 -87 87
Total cash inflow/(outflow) from operating activities (a) 678 0 678
Cash flow from Investing Activities
Purchase of subsidiaries -43 0 -43
Purchase of tangible and intangible assets -7.397 -56 -7.341
Proceeds from sale of tangible and intangible assets 44 0 44
Proceeds from sale of subsidiaries - 0 -
Dividends received - 0 -
Dividents received 0 0 0
Investment Cashflow from discontinued operations 0 56 -56
Total cash inflow/(outflow) from investing activities (b) -7.396 0 -7.396
Cash flow from Financing Activities
Proceeds from Borrowings 30.732 0 30.732
Payments of Borrowings -15.818 0 -15.818
Proceeds from leases -1.244 -31 -1.213
Purchase of Treasury shares -257 0 -257
Dividends paid -775 0 -775
Financing Cashflow from discontinued operations 0 31 -31
Total cash inflow/(outflow) from financing activities (c) 12.638 0 12.638
Net increase/(decrease) in cash and cash equivalents (a)+(b)+(c) 5.920 0 5.920
Cash and cash equivalents at beginning of period 23.265 0 23.265
Cash and cash equivalents at end of period 29.185 0 29.185
296
SPACE HELLAS S.A.
Annual Report 2023
297
4.9 SIGNIFICANT POST-BALANCE SHEET EVENTS
➢ On January 26, 2024, Spaces Hellas was very pleased to announce its scholarship
recipients based on the announced 5th "Dimitris Manolopoulos" honorary scholarship for
the academic year 2023-2024.
➢ On April 8, 2024, the General Assembly of the subsidiary company, SENSE ONE
TECHNOLOGY MONOPROSOPI SA, approved the increase of its share capital by the
amount of two hundred and fifty thousand and fifty euros (€250.050) with the payment
of cash and the issue of sixteen thousand six hundred and seventy (16.670) new shares.
Following this, the share capital of SENSE ONE TECHNOLOGY MONOPROSOPI SA was
established in the amount of eight hundred and fifty thousand and fifty euros
(€850.050,00) divided into fifty-six thousand six hundred and seventy (56.670) shares with
a nominal value of fifteen euros (€15,00) each, by the above mentioned
No other events subsequent to the financial statements concern either the Group or the
company and are required to be reported by the International Financial Reporting Standards.
SPACE HELLAS S.A.
Annual Report 2023
5 FIGURES AND INFORMATION FROM 1
ST
JANUARY TO 31
th
DECEMBER 2023
SPACE HELLAS S.A.
GEMI:375501000
Mesogion Av. 312 Ag. Paraskevi
Financial statement and information for the period 1 January 2023 to 31 December 2023
The follow ing result s and information, that arise from the financial st at ements, prov ide a general picture of the financial position and financial result s of the SPACE HELLAS S.A.
Thus, w e suggest the reader, before entering into any sort of invest ment decision or other transact ion w ith the company, to gain access to the company's w ebsite, w here the financial statements can be dow nloaded, as w ell as the
Company Information
Board of Directors
Manolopoulos Spyridon Chairman, ex ecutiv e member
Prefect ure M inist ry of Development, Department of Commerce Chatzist amatiou Theodoros Vice President,non-ex ecutiv e member
Company's w ebsit e http://w w w .space. gr Mpellos Christ os V ice President, ex ecutiv e member
Date of approv al by the Board of Directors April 23, 2024 Mert zanis Ioannis CEO, ex ecutiv e member
Doulaveris Ioannis Ex ecutiv e member
Certified Auditor Accountant Dimos B. Pitelis (S.O.E.L. Reg. No 14481) Paparizou Anastasia Ex ecutive member
Auditing Company PKF Euroauditing S.A. Theodorou Eirinaios Independent - non-ex ecutiv e member
Ty pe of Audit or's report W it hout qualification Kaliani Anna Independent - non-ex ecutiv e member
Chatiras Emmanouil I ndependent - non-ex ecut iv e member
1.1 STATEMENT OF FINANCIAL POSITI ON
1.4 CASH FLOW STATEMENT FOR THE YEAR
GROUP COMPANY GROUP COMPANY
(c onsolidated a nd non-consolidated) Amounts in € thousand
31.12.2023 31.12.2022 31.12.2023 31.12.2022
(consolidat ed and non-consolidat ed) Am ount s in € t housand
01.01-
01.01-
01.01-
01.01-
31.12.2023
31.12.2022
31.12.2023
31.12.2022
ASSETS Operating Activities :
Propert y , plant and equipment
22.805 21.211 22.086 20.027 Profit before tax es (continued operations) 7. 413 5. 442 4.581 4.470
Rights of Use
3.423 2. 615 3.022 1.814 Plus/Less adjust ments for :
Intangible asset s
20.180 17.541 5.045 3.034 Depreciat ion 6.199 3.484 3.548 2.388
Other non-current assets
6.440 16.609 16.702 21.444 Provisions 378 -41 198 176
Inventory
16.722 17.381 16.550 16.820 Foreign ex change differences 459 -770 452 -761
Receiv ables (trade debtors)
64.122 55.366 59.392 51.591 Net (profit)/Loss from investing activ it ies -4.998 -44 -4.071 188
Other current assets
16.503 15.163 11.354 10.715 Interes t and other financial ex penses 8.704 4.962 8. 014 4.503
Cash and Cash equivalents
25.088 29.185 19.790 27.329 Plus or minus for Working Capit al changes:
TOTAL ASSETS
175.283 175.071 153.941 152.774 Decrease/( increase) in Inventories 762 -7.287 270 -7.150
EQUITY AND LIABILI TIES Decrease/(increase) in Receiv ables
-9.023 -10.553 -7.240 -12.482
Share capital
6.973 6. 973 6.973 6.973 (Decrease) /increase in Pay ables (ex cluding banks) 1.842 9.404 -789 12.863
Other components of equity
21.201 20.059 18.632 16.342 Less:
Total equity attributable to owners of the parent (a)
28.174 27.032 25.605 23.315 I nt eres t and other financial ex penses paid -7.691 -4.304 -7.077 -3.965
Non controlling interest s (b)
9 3.600 - - Tax es paid -187 298 -205 0
Total Equity (c) = (a)+(b)
28.183 30.632 25.605 23.315 Discontinued operat ions 90 87 - -
Long term borrow ings
31.091 47.919 27.561 46.260 Total cash inflow/(outflow) from operating activities (a) 3.948 678 -2.319 230
Long term prov isions / Non current liabilities
8.881 6. 164 6.153 4.309 Cash flow from Investing Activities
Short term borrow ings
Acquisition of subsidiaries, associat ed companies, joint
41.670 22.683 38.049 20.263 -6.300 -43 -6.300 -43
Other current liabilit ies
65.458 67.673 56.573 58.627 Purchase of tangible and intangible assets -11. 185 -7.341 -8.872 -4.228
Proceeds from sale of tangible and intangible assets
34 44 22 15
Total Liabilities (d)
147.100 144.439 128.336 129.459 Proceeds from sale of invest ments 11.800 0 11.800 0
TOTAL EQUITY AND LIABILITIES (c)+(d)
175.283 175.071 153.941 152.774 Interest receiv ed 322 0 309 0
Div idends received
0 0 438 1.226
Discontinued operations
-21 -56 - -
Total cash inflow/(outflow) from investing activities (b)
-5.350 -7.396 -2.603 -3.030
1.3 STATEMENT OF CHANGES IN EQUITY
Cash flow from Financing Activities
(consolidat ed and non consolidat ed) Am ount s in € t housand
GROUP
COMPANY
Proceeds from Borrow ings 27.511 30. 732 22.742 27.486
31.12.2023 31.12.2022 31.12.2023 31.12.2022 Payments of Borrow ings -27.852 -15.818 -23.655 -15.068
Total equit y in the beginning of the year (1/1/2023 and
1/1/2022 accordingly)
30.632 24.376 23.315 18.673 Pay ments of leases -1.458 -1.213 -856 -670
Total comprehensiv e income aft er tax es (continued and
discontinued operations)
4.697 6. 431 3.138 4.815 Payments for Treasury shares 0 -257 0 -257
Increase / (Decrease) of Share Capital
0 0 0 0 Div idends paid to shareholders of the Company -848 -775 -848 -775
Cancellat ion of ow n shares
0 602 0 602 Discontinued operations -48 -31
Other Changes
Total cash inflow/(outflow) from financing activities (c)
-2.689 0 0 0 -2.695 12.638 -2.617 10.716
Non controlling interest s
-3.609 -2 0 0
Net increase/(decrease) in cash and cash equivalents (a)+( b)+ (c)
-4.097 5.920 -7.539 7. 916
Div idends dist ributed
-848 -775 -848 -775 Cash and cash equivalents at beginning of period 29.185 23.265 27.329 19.413
Total equity at the end of the year Total equity at the end
of the period (31.12.2023 and 31.12.2022)
28.183 30.632 25.605 23.315 Cash and cash equivalents at end of period 25.088 29.185 19.790 27.329
1.2 STATEMENT OF CO MPREHENSIVE INCOME
Group
Company
(consolidat ed and non consolidat ed) Am ount s in € t housand
01.01-
31.12.2023
01.01-
31.12.2022
01.01-
31.12.2023
01.01-
31.12.2022
Turnover
148.078 120.663 123.603 110.337
Gross Profit
30.873 21.683 23.675 19.856
Profit before tax es, financing and invest ing activ ity
11.281 7.028 8.501 6.507
Profit bef ore taxes
7.413 5.442 4.581 4.470
Profit after tax es from discontinued operations
-91 261 - -
Profit after tax es (A)
4.804 5.020 3.146 3.332
- Owner s of t he par ent
4.786 4.685 3.146 3.332
- Non cont r olling int er est s
18 335 - -
4.804 5.020 3.146 3.332
Other comprehensive income after taxes (B)
-107 1.411 -8 1.483
Total comprehensiv e income aft er tax es (A)+(B)
4.697 6.431 3.138 4.815
- Owner s of t he par ent
4.679 6.061 3.138 4.815
- Non cont r olling int er est s
18 370 - -
Earnings (after tax es) per share - basic in €
0,7413 0,7256 0,4873 0,5161
Profit bef ore taxes, financing and investing activity and depreciation
17.413 10.512 12.049 8.895
Additional information
1.
The company's shares w ere list ed on the At hens Stock Ex change on 29-9-2000. The earnings per share w ere calculated based on the w eighted average number of ordinary shares in issue amounting to 6.456.530.
2.
The companies of the Group, the percentage ow nership and the consolidation method for the ending period are disclos ed in note 4.6.13 of the annual financial report of 2023.
3.
The tax unaudit ed years of the Company and the Group are disclos ed in note 4.6.30 of the 2023 annual financial report.
4.
The company has formed a provision for the tax unaudited years, for the amount of 61 thousand, in order to cover the possibilit y of additional tax es (note 4.6.30). No other reserv es are formed (note 4.6.28).
5.
There are no other disputed or under-arbit rat ion cases of national or administrativ e courts that may have a material effect on the Company's financial posit ion.
6.
There are no other real liens on non-current assets or propert y , ex cept, at the Company lev el, the underw rit ing, amounting to € 1.200 thousand, on the property sit uated at 6 Loch. Dedousi St., Cholargos, Athens, and the underw rit ing amounting to €
7.
The personnel employ ed by the Group on 31.12.2023 amounted to 771 persons, and by t he Company amounted to 589, w hile as at 31.12. 2022, they amounted to 844 and 582, respectiv ely .
8.
The same Accounting Policies have been follow ed as for the financial st at ements as at 31.12.2022.
9.
Not e 4.3 of the 2023 annual financial report refers to the comprehensiv e income aft er tax es for the company and the Group.
10.
The Group’s previous year’s amounts have been adjust ed in order to be comparable w it h those of the current y ear, as required by IFRS 5 (not e 4.8.1) due to the spin-off that took place in our subsidiary SINGU LARLOGIC
11.
Intercompany transact ions for the period from 1 January 2023 to 31 December 2023 according to I.A.S. 24 are as follow s:
GROUP COMPANY
a) Sales of goods and services 83 2.423
b) Purchases of goods and serv ices 67 895
c) Receiv ables from relat ed parties 5 735
d) Payables to related parties 8 241
e) Key management compensations 2.497 1.440
f) Receiv ables from key management 2 2
g) Payables to key management included in above 0 0
The company has guaranteed to financial institutions for bank credit limit for its subsidiaries up to the amount of € 28.730 thousand, of w hich € 10.541 thousand has been used.
CHAIRMAN OF THE BOARD OF DI RECTORS
SPYRIDON MANOLOPOU LOS
Agia Paraskev i, April 23, 2024
CHIEF EXECUTIV E OFFICER
IOANNI S MERTZANIS
CHIEF FINANCIAL OFFICER
AND EXECUTIVE MEMBER OF THE BOARD AND EXECUTIV E MEMBER OF THE BOARD
IOANNI S DOU LAVERIS
CHIEF ACCOUNTANT
ANASTASIA PAPARIZOU
298
SPACE HELLAS S.A.
Annual Report 2023
299
6 GROUP’S WEBSITE AND AVAILABILITY OF THE PUBLISHED
FINANCIAL REPORT
The attached Financial Statements of 31.12.2023 of the Group and the Company were
approved by the Board of Directors of SPACE HELLAS on 23.04.2024 and have been published
with their posting on the Company's website, www.space.gr as well as on the website of Athens
Stock Exchange where they shall remain at the disposal of the investing public for a period of
at least five years from the date of their publication. The published financial data and
information resulting from the Financial Statements depict, in a true and concise but essential
way, all relevant and legally necessary information in order to offer substantial and detailed
information on the activity of the Company and the Group to the investing public. The reader
can refer to the company's website, www.space.gr, where the financial statements of the
company's subsidiaries are uploaded. The auditors of the consolidated and corporate Financial
Statements of SPACE HELLAS, both for the fiscal year that ended on 31.12.2023 and for the
previous fiscal year, are the auditing company PKF Euroauditing SA.
We certify that the attached annual financial report, from pages 1 to 337 (Greek document),
includes the annual financial statements of the Group and of company SPACE HELLAS SA for
the financial year from January 1, 2023 to December 31, 2023, which have been approved by
the Board of Directors of SPACE HELLAS SA on April 24
th
, 2024 and have been published by
posting them on the internet, at the address http://www.space.gr, and have been signed by the
following:
CHAIRMAN OF
THE BOARD OF DIRECTORS
SPYRIDON
MANOLOPOULOS
CHIEF EXECUTIVE
OFFICER
IOANNIS
MERTZANIS
CHIEF FINANCIAL
OFFICER AND
MEMBER OF THE
BOARD
IOANNIS
DOULAVERIS
CHIEF
ACCOUNTANT
AND MEMBER OF
THE BOARD
ANASTASIA
PAPARIZOU